{smcl}
{com}{sf}{ul off}{txt}{.-}
      name:  {res}<unnamed>
       {txt}log:  {res}C:\Users\gk57526\Dropbox\Informal & Formal Bargaining (BAA Reforms)\JOP Replication File Materials\Output\execbudinfluence.08-26-2020.SECTION 4.CONTROL FUNCTION FOR ENDOGENOUS REGRESSOR MODELS.comments.smcl
  {txt}log type:  {res}smcl
 {txt}opened on:  {res}21 Mar 2021, 23:40:41
{txt}
{com}. 
. 
. 
. 
.  * OPEN "EXECUTIVE BUDGETARY INFLUENCE" DATABASE WITH NEWLY CREATED VARIABLES
.  
. use "C:\Users\gk57526\Dropbox\Informal & Formal Bargaining (BAA Reforms)\JOP Replication File Materials\Data\execbudinfluence.08-26-2020.REPORTED MODELS.REV.comments.dta", replace
{txt}
{com}. 
.  
. 
. *** DECLARE DATABASE AS A PANEL (AGENCY ID * FISCAL YEAR): 
. 
. xtset agenid fyear, yearly
{res}{txt}{col 8}panel variable:  {res}agenid (unbalanced)
{txt}{col 9}time variable:  {res}{col 25}fyear, 1894 to 1940
{txt}{col 17}delta:  {res}1 year
{txt}
{com}. 
. *
. *
. *
. 
. *********************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************
. 
. 
. 
. ** POSIT THAT E <= A: REGIMEREG, REGIMETOT = 1 (I.E., FAVORABLE EXECUTIVE BARGAINING POSITION) IS MORE PREVALENT IN POST-BAA ERA COMPARED TO PRE-BAA ERA **
. ** POSIT THAT E > A : REGIMEREG, REGIMETOT = 0 (I.E., UNFAVORABLE EXECUTIVE BARGAINING POSITION) IS LESS PREVALENT IN POST-BAA ERA COMPARED TO PRE-BAA ERA **
. 
. 
. 
. 
. 
. ******* PROPOSITION 1: NOT RELEVANT TO ENDOGENEITY BIAS EVALUATION ************
. 
. 
. 
. *********************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************
. 
. 
. 
. ******* PROPOSITION 2: DOES A STRONGER EXECUTIVE VETO THREAT [VIA BAA REFORMS] TRANSLATE INTO GREATER EXECUTIVE BUDGETARY INFLUENCE UNDER A WEAK VETO THREAT? ************
. 
. 
. ** POSIT THAT EXECUTIVE BUDGETARY INFLUENCE HAS DECLINED [IMPROVED] IN POST-BAA ERA COMPARED TO PRE-BAA ERA FOR RELATIVELY AUSTERE (PROFLIGATE) EXECUTIVE BUDGET PROPOSALS [E <= A] ([E > A]) **
. 
. 
. 
. 
. *** CREATE LAGGED ENDOGENOUS REGRESSOR INSTRUMENTS ***
. 
. quietly movestay congbudchangereg2  l1congbudchangereg2 execbudchangereg2 ebcreg2baa bureauofbudget ///
> lnagencyage unifiedpartygovt  presadminyear if agenid!=15, cluster(agenid) /// 
> select(regimereg = executiveagency) difficult
{txt}
{com}. *
. *
. *
. gen l1execbudchangereg2 = l1.execbudchangereg2
{txt}(110 missing values generated)

{com}. *
. gen l1execbudchangetot2 = l1.execbudchangetot2
{txt}(109 missing values generated)

{com}. *
. *
. *
. sum execbudchangereg2 if e(sample), detail

                      {txt}execbudchangereg2
{hline 61}
      Percentiles      Smallest
 1%    {res}-83.73773           -200
{txt} 5%    {res}-31.61426      -161.7565
{txt}10%    {res}-16.73432      -158.5192       {txt}Obs         {res}        675
{txt}25%    {res}-4.671646       -134.638       {txt}Sum of Wgt. {res}        675

{txt}50%    {res} 2.991055                      {txt}Mean          {res}  4.23261
                        {txt}Largest       Std. Dev.     {res} 29.27959
{txt}75%    {res} 11.75361       115.0717
{txt}90%    {res} 26.84272        138.142       {txt}Variance      {res} 857.2944
{txt}95%    {res} 46.41774       157.8469       {txt}Skewness      {res}-.0075698
{txt}99%    {res}  106.006            200       {txt}Kurtosis      {res} 15.78234
{txt}
{com}. gen execbudchangereg2meandevsq = (execbudchangereg2 - 4.23261)^2
{txt}(70 missing values generated)

{com}. gen execbudchangereg2meandevcubic = (execbudchangereg2 - 4.23261)^3
{txt}(70 missing values generated)

{com}. *
. sum execbudchangetot2 if e(sample), detail

                      {txt}execbudchangetot2
{hline 61}
      Percentiles      Smallest
 1%    {res}-109.0201           -200
{txt} 5%    {res}-31.34745      -195.3272
{txt}10%    {res}-16.24548      -192.0405       {txt}Obs         {res}        675
{txt}25%    {res}-4.671646      -158.5192       {txt}Sum of Wgt. {res}        675

{txt}50%    {res} 2.898536                      {txt}Mean          {res} 5.219665
                        {txt}Largest       Std. Dev.     {res} 33.89577
{txt}75%    {res} 12.81241       185.6503
{txt}90%    {res} 28.27658        192.863       {txt}Variance      {res} 1148.923
{txt}95%    {res}  55.4222       197.4245       {txt}Skewness      {res} .4122282
{txt}99%    {res}  138.142            200       {txt}Kurtosis      {res} 16.24262
{txt}
{com}. gen execbudchangetot2meandevcubic = (execbudchangetot2 - 5.219665)^3
{txt}(69 missing values generated)

{com}. *
. *
. 
. 
. *********************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************
. 
. 
. 
. 
. 
. *** BASELINE MODEL SPECIFICATION, I -- REGULAR DISCRETIONARY BUDGET [EXCLUDES EXTRAMURAL FUNDS]: ENDOGENOUS REGIME SWITCHING REGRESSION MODELS ESTIMATED BY FIML ///
> 
. 
. 
. 
. *********************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************
. 
. 
. 
. *** STEP 1A: ESTIMATE FIRST-STAGE ENDOGENOUS REGRESSOR REGRESSIONS WITH ALTERNATIVE INSTRUMENTS [CONGCONNECT (SEE VARIABLE LABEL FOR DEFINITION); ///
> ***          LAGGED ENDOGENOUS REGRESSOR (E.G., ARELLANO AND BOND 1991); & HIGHER MOMENTS {c -(}2ND & 3RD ORDER{c )-} OF ENDOGENOUS REGRESSOR (SEE LEWBEL 1997)]  **** 
. ***          NOTE: ONLY ESTIMATING "EXECBUDCHANGEREG2" -- LATER WILL CREATE INTERACTIONS WITH OTHER NON-ENDOGENOUS COVARIATES TO BE ESTIMATED IN THE OUTCOME EQUATION ***
. 
. 
. *** STEP 1B: COMPUTE F-STATISTIC FOR INSTRUMENT  = 0 (F ~ > 10: STRONG INSTRUMENT; F << 10: WEAK INSTRUMENT) ***
.          
.                  
. *** STEP 1C: COMPUTE RESIDUALS FROM FIRST-STAGE REGRESSION & STORE AS A NEW VARIABLE    
. 
. 
. *********************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************
. 
. 
. 
. *** STEP 1A-C.i: LAGGED ENDOGENOUS REGRESSOR INSTRUMENT  ***
. 
. regress execbudchangereg2  l1execbudchangereg2  l1congbudchangereg2   bureauofbudget ///
> lnagencyage unifiedpartygovt presadminyear if agenid!=15, cluster(agenid)

{txt}Linear regression                               Number of obs     = {res}       659
                                                {txt}F(6, 36)          =  {res}     9.22
                                                {txt}Prob > F          = {res}    0.0000
                                                {txt}R-squared         = {res}    0.1229
                                                {txt}Root MSE          =    {res} 27.159

{txt}{ralign 85:(Std. Err. adjusted for {res:37} clusters in agenid)}
{hline 20}{c TT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{col 21}{c |}{col 33}    Robust
{col 1}  execbudchangereg2{col 21}{c |}      Coef.{col 33}   Std. Err.{col 45}      t{col 53}   P>|t|{col 61}     [95% Con{col 74}f. Interval]
{hline 20}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
l1execbudchangereg2 {c |}{col 21}{res}{space 2}-.2620312{col 33}{space 2} .1228192{col 44}{space 1}   -2.13{col 53}{space 3}0.040{col 61}{space 4}-.5111202{col 74}{space 3}-.0129423
{txt}l1congbudchangereg2 {c |}{col 21}{res}{space 2} .2676058{col 33}{space 2} .0990712{col 44}{space 1}    2.70{col 53}{space 3}0.010{col 61}{space 4} .0666802{col 74}{space 3} .4685314
{txt}{space 5}bureauofbudget {c |}{col 21}{res}{space 2} 4.003068{col 33}{space 2} 2.245223{col 44}{space 1}    1.78{col 53}{space 3}0.083{col 61}{space 4} -.550456{col 74}{space 3} 8.556591
{txt}{space 8}lnagencyage {c |}{col 21}{res}{space 2} .5192992{col 33}{space 2} 1.516073{col 44}{space 1}    0.34{col 53}{space 3}0.734{col 61}{space 4}-2.555439{col 74}{space 3} 3.594038
{txt}{space 3}unifiedpartygovt {c |}{col 21}{res}{space 2} 6.069992{col 33}{space 2} 3.273396{col 44}{space 1}    1.85{col 53}{space 3}0.072{col 61}{space 4}-.5687619{col 74}{space 3} 12.70875
{txt}{space 6}presadminyear {c |}{col 21}{res}{space 2} 1.118901{col 33}{space 2} .5949793{col 44}{space 1}    1.88{col 53}{space 3}0.068{col 61}{space 4}-.0877734{col 74}{space 3} 2.325575
{txt}{space 14}_cons {c |}{col 21}{res}{space 2}-9.355954{col 33}{space 2} 7.478137{col 44}{space 1}   -1.25{col 53}{space 3}0.219{col 61}{space 4}-24.52232{col 74}{space 3} 5.810411
{txt}{hline 20}{c BT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{res}{txt}
{com}. *
. 
. ** TABLE SI-4A: PROPOSITION 2 [REGULAR DISCRETIONARY BUDGET MODEL: LAGGED EXECUTIVE BUDGET PROPOSAL GROWTH]
. 
. test  l1execbudchangereg2 = 0

{p 0 7}{space 1}{text:( 1)}{space 1} {res}l1execbudchangereg2 = 0{p_end}

{txt}       F(  1,    36) ={res}    4.55
{txt}{col 13}Prob > F ={res}    0.0398
{txt}
{com}. 
. 
. *** STEP 1A-C.ii: HIGHER MOMENTS INSTRUMENTS [2nd & 3rd ORDER] ***
. 
. regress execbudchangereg2  execbudchangereg2meandevsq  execbudchangereg2meandevcubic  l1congbudchangereg2   bureauofbudget ///
> lnagencyage  unifiedpartygovt presadminyear if agenid!=15, cluster(agenid)

{txt}Linear regression                               Number of obs     = {res}       686
                                                {txt}F(7, 38)          =  {res}    23.13
                                                {txt}Prob > F          = {res}    0.0000
                                                {txt}R-squared         = {res}    0.5844
                                                {txt}Root MSE          =    {res} 20.057

{txt}{ralign 95:(Std. Err. adjusted for {res:39} clusters in agenid)}
{hline 30}{c TT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{col 31}{c |}{col 43}    Robust
{col 1}            execbudchangereg2{col 31}{c |}      Coef.{col 43}   Std. Err.{col 55}      t{col 63}   P>|t|{col 71}     [95% Con{col 84}f. Interval]
{hline 30}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{space 3}execbudchangereg2meandevsq {c |}{col 31}{res}{space 2} .0014385{col 43}{space 2} .0005121{col 54}{space 1}    2.81{col 63}{space 3}0.008{col 71}{space 4} .0004018{col 84}{space 3} .0024752
{txt}execbudchangereg2meandevcubic {c |}{col 31}{res}{space 2} .0000355{col 43}{space 2} 3.70e-06{col 54}{space 1}    9.59{col 63}{space 3}0.000{col 71}{space 4}  .000028{col 84}{space 3}  .000043
{txt}{space 10}l1congbudchangereg2 {c |}{col 31}{res}{space 2} .1241352{col 43}{space 2} .0289662{col 54}{space 1}    4.29{col 63}{space 3}0.000{col 71}{space 4} .0654962{col 84}{space 3} .1827742
{txt}{space 15}bureauofbudget {c |}{col 31}{res}{space 2} 3.405785{col 43}{space 2} 1.649003{col 54}{space 1}    2.07{col 63}{space 3}0.046{col 71}{space 4} .0675531{col 84}{space 3} 6.744016
{txt}{space 18}lnagencyage {c |}{col 31}{res}{space 2}  1.49375{col 43}{space 2} .8803113{col 54}{space 1}    1.70{col 63}{space 3}0.098{col 71}{space 4} -.288347{col 84}{space 3} 3.275847
{txt}{space 13}unifiedpartygovt {c |}{col 31}{res}{space 2} 5.908438{col 43}{space 2} 2.064408{col 54}{space 1}    2.86{col 63}{space 3}0.007{col 71}{space 4} 1.729262{col 84}{space 3} 10.08761
{txt}{space 16}presadminyear {c |}{col 31}{res}{space 2} .5731564{col 43}{space 2} .4365213{col 54}{space 1}    1.31{col 63}{space 3}0.197{col 71}{space 4}-.3105347{col 84}{space 3} 1.456847
{txt}{space 24}_cons {c |}{col 31}{res}{space 2}-11.82861{col 43}{space 2} 4.316498{col 54}{space 1}   -2.74{col 63}{space 3}0.009{col 71}{space 4} -20.5669{col 84}{space 3}-3.090317
{txt}{hline 30}{c BT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{res}{txt}
{com}. *
. 
. ** TABLE SI-4A: PROPOSITION 2 [REGULAR DISCRETIONARY BUDGET MODEL: 2ND & 3RD MOMENTS]
. 
. test  execbudchangereg2meandevsq = execbudchangereg2meandevcubic = 0

{p 0 7}{space 1}{text:( 1)}{space 1} {res}execbudchangereg2meandevsq - execbudchangereg2meandevcubic = 0{p_end}
{p 0 7}{space 1}{text:( 2)}{space 1} execbudchangereg2meandevsq = 0{p_end}

{txt}       F(  2,    38) ={res}   47.47
{txt}{col 13}Prob > F ={res}    0.0000
{txt}
{com}. 
. predict hmiresidp2reg2, residuals
{txt}(84 missing values generated)

{com}. 
. 
. 
. *** STEP 2: CREATE APPROPRIATE INTERACTIONS BETWEEN FIRST-STAGE ENDOGENOUS REGRESSOR RESIDUAL COVARIATE AND BAA BINARY INDICATOR *** 
. 
. gen hmiresidp2reg2baa = hmiresidp2reg2*bureauofbudget
{txt}(84 missing values generated)

{com}. 
. 
. 
. 
. *** STEP 3A: ESTIMATE THE OUTCOME MODEL OF INTEREST AS A CONTROL FUNCTION WITH FIRST-STAGE REGRESSION RESIDUALS ///
> ***         INCLUDED AS A COVARIATE TO ACCOUNT FOR ENDOGENEITY BIAS BETWEEN EXECBUDCHANGEREG2 & CONGBUDCHANGEREG2
. 
. 
. *** STEP 3B: COMPUTE LIKELIHOOD TEST RESTRICTION FOR RESIDUAL COVARIATES (CONTROLLING FOR ENDOGENEITY BIAS) APPEARING IN THE MODEL = 0 ***
. 
. 
. *** STEP 3C: COMPUTE POST-ESTIMATION MARGINAL EFFETS USING LINCOM ***
. 
.  
. *********************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************
. 
. 
. 
. 
. *** STEP 3A-C.iii: HIGHER-ORDER MOEMENTS OF ENDOGENOUS REGRESSOR INSTRUMENT [2ND & 3RD ORDER] ***
. 
.  
. *** BASELINE MODEL SPECIFICATION, I.iii -- REGULAR DISCRETIONARY BUDGET [EXCLUDES EXTRAMURAL FUNDS]: ENDOGENOUS REGIME SWITCHING REGRESSION MODELS ESTIMATED BY FIML ///
> *** [SELECTIVITY COVARIATE: AGENCY DESIGN (EXECUTIVE DEPARTMENT / INDEPENDENT AGENCY BINARY DISTINCTION)] ***
. 
. movestay congbudchangereg2  l1congbudchangereg2 execbudchangereg2 ebcreg2baa bureauofbudget ///
> lnagencyage unifiedpartygovt  presadminyear hmiresidp2reg2 hmiresidp2reg2baa if agenid!=15, cluster(agenid) /// 
> select(regimereg = executiveagency) difficult



Fitting initial values .....
{txt}Iteration 0:{col 16}log pseudolikelihood = {res} -3548.354{txt}  (not concave)
Iteration 1:{col 16}log pseudolikelihood = {res}-3538.2221{txt}  (not concave)
Iteration 2:{col 16}log pseudolikelihood = {res}-3533.0872{txt}  
Iteration 3:{col 16}log pseudolikelihood = {res}-3514.8985{txt}  
Iteration 4:{col 16}log pseudolikelihood = {res}-3513.9066{txt}  
Iteration 5:{col 16}log pseudolikelihood = {res}-3513.9034{txt}  
Iteration 6:{col 16}log pseudolikelihood = {res}-3513.9034{txt}  
{res}
{txt}Endogenous switching regression model{col 51}Number of obs{col 67}= {res}       675
{col 51}{txt}Wald chi2({res}9{txt}){col 67}= {res}    132.43
{txt}Log pseudolikelihood = {res}-3513.9034{col 51}{txt}Prob > chi2{col 67}= {res}    0.0000

{txt}{ralign 85:(Std. Err. adjusted for {res:37} clusters in agenid)}
{hline 20}{c TT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{col 21}{c |}{col 33}    Robust
{col 21}{c |}      Coef.{col 33}   Std. Err.{col 45}      z{col 53}   P>|z|{col 61}     [95% Con{col 74}f. Interval]
{hline 20}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{res}congbudchangereg2_1 {txt}{c |}
l1congbudchangereg2 {c |}{col 21}{res}{space 2}-.2252974{col 33}{space 2} .1331347{col 44}{space 1}   -1.69{col 53}{space 3}0.091{col 61}{space 4}-.4862366{col 74}{space 3} .0356417
{txt}{space 2}execbudchangereg2 {c |}{col 21}{res}{space 2} 1.009796{col 33}{space 2}  .302239{col 44}{space 1}    3.34{col 53}{space 3}0.001{col 61}{space 4} .4174184{col 74}{space 3} 1.602173
{txt}{space 9}ebcreg2baa {c |}{col 21}{res}{space 2}-.2314697{col 33}{space 2} .3837013{col 44}{space 1}   -0.60{col 53}{space 3}0.546{col 61}{space 4}-.9835105{col 74}{space 3} .5205711
{txt}{space 5}bureauofbudget {c |}{col 21}{res}{space 2} 11.52882{col 33}{space 2} 12.58651{col 44}{space 1}    0.92{col 53}{space 3}0.360{col 61}{space 4} -13.1403{col 74}{space 3} 36.19793
{txt}{space 8}lnagencyage {c |}{col 21}{res}{space 2} 1.523299{col 33}{space 2} 5.261773{col 44}{space 1}    0.29{col 53}{space 3}0.772{col 61}{space 4}-8.789586{col 74}{space 3} 11.83618
{txt}{space 3}unifiedpartygovt {c |}{col 21}{res}{space 2} 13.86329{col 33}{space 2} 32.22752{col 44}{space 1}    0.43{col 53}{space 3}0.667{col 61}{space 4}-49.30149{col 74}{space 3} 77.02806
{txt}{space 6}presadminyear {c |}{col 21}{res}{space 2}-1.822787{col 33}{space 2} .9874041{col 44}{space 1}   -1.85{col 53}{space 3}0.065{col 61}{space 4}-3.758064{col 74}{space 3} .1124892
{txt}{space 5}hmiresidp2reg2 {c |}{col 21}{res}{space 2}-.2912238{col 33}{space 2} .4527645{col 44}{space 1}   -0.64{col 53}{space 3}0.520{col 61}{space 4}-1.178626{col 74}{space 3} .5961783
{txt}{space 2}hmiresidp2reg2baa {c |}{col 21}{res}{space 2}-.1409589{col 33}{space 2} .5999238{col 44}{space 1}   -0.23{col 53}{space 3}0.814{col 61}{space 4}-1.316788{col 74}{space 3}  1.03487
{txt}{space 14}_cons {c |}{col 21}{res}{space 2}-28.36883{col 33}{space 2} 60.74154{col 44}{space 1}   -0.47{col 53}{space 3}0.640{col 61}{space 4}-147.4201{col 74}{space 3}  90.6824
{txt}{hline 20}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{res}congbudchangereg2_0 {txt}{c |}
l1congbudchangereg2 {c |}{col 21}{res}{space 2}-.0646235{col 33}{space 2} .1664641{col 44}{space 1}   -0.39{col 53}{space 3}0.698{col 61}{space 4}-.3908873{col 74}{space 3} .2616402
{txt}{space 2}execbudchangereg2 {c |}{col 21}{res}{space 2}-1.545315{col 33}{space 2} .8945371{col 44}{space 1}   -1.73{col 53}{space 3}0.084{col 61}{space 4}-3.298575{col 74}{space 3} .2079461
{txt}{space 9}ebcreg2baa {c |}{col 21}{res}{space 2} 2.268125{col 33}{space 2} .8732583{col 44}{space 1}    2.60{col 53}{space 3}0.009{col 61}{space 4} .5565701{col 74}{space 3}  3.97968
{txt}{space 5}bureauofbudget {c |}{col 21}{res}{space 2} 9.319525{col 33}{space 2} 9.716306{col 44}{space 1}    0.96{col 53}{space 3}0.337{col 61}{space 4}-9.724085{col 74}{space 3} 28.36313
{txt}{space 8}lnagencyage {c |}{col 21}{res}{space 2}-1.414566{col 33}{space 2} 9.668716{col 44}{space 1}   -0.15{col 53}{space 3}0.884{col 61}{space 4} -20.3649{col 74}{space 3} 17.53577
{txt}{space 3}unifiedpartygovt {c |}{col 21}{res}{space 2} 32.19996{col 33}{space 2} 18.23812{col 44}{space 1}    1.77{col 53}{space 3}0.077{col 61}{space 4}-3.546093{col 74}{space 3} 67.94601
{txt}{space 6}presadminyear {c |}{col 21}{res}{space 2}-1.492029{col 33}{space 2} .8262113{col 44}{space 1}   -1.81{col 53}{space 3}0.071{col 61}{space 4}-3.111373{col 74}{space 3} .1273155
{txt}{space 5}hmiresidp2reg2 {c |}{col 21}{res}{space 2} 2.317552{col 33}{space 2}  1.22472{col 44}{space 1}    1.89{col 53}{space 3}0.058{col 61}{space 4}-.0828538{col 74}{space 3} 4.717959
{txt}{space 2}hmiresidp2reg2baa {c |}{col 21}{res}{space 2}-2.694085{col 33}{space 2} .9479059{col 44}{space 1}   -2.84{col 53}{space 3}0.004{col 61}{space 4}-4.551946{col 74}{space 3}-.8362236
{txt}{space 14}_cons {c |}{col 21}{res}{space 2} .2349614{col 33}{space 2} 40.55381{col 44}{space 1}    0.01{col 53}{space 3}0.995{col 61}{space 4}-79.24904{col 74}{space 3} 79.71896
{txt}{hline 20}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{res}regimereg           {txt}{c |}
l1congbudchangereg2 {c |}{col 21}{res}{space 2} .0065264{col 33}{space 2} .0029646{col 44}{space 1}    2.20{col 53}{space 3}0.028{col 61}{space 4} .0007158{col 74}{space 3}  .012337
{txt}{space 2}execbudchangereg2 {c |}{col 21}{res}{space 2}-.0022815{col 33}{space 2}  .008622{col 44}{space 1}   -0.26{col 53}{space 3}0.791{col 61}{space 4}-.0191803{col 74}{space 3} .0146172
{txt}{space 9}ebcreg2baa {c |}{col 21}{res}{space 2}-.0017111{col 33}{space 2} .0097779{col 44}{space 1}   -0.17{col 53}{space 3}0.861{col 61}{space 4}-.0208753{col 74}{space 3} .0174531
{txt}{space 5}bureauofbudget {c |}{col 21}{res}{space 2} .5566539{col 33}{space 2} .3175795{col 44}{space 1}    1.75{col 53}{space 3}0.080{col 61}{space 4}-.0657905{col 74}{space 3} 1.179098
{txt}{space 8}lnagencyage {c |}{col 21}{res}{space 2} .0690211{col 33}{space 2} .1719559{col 44}{space 1}    0.40{col 53}{space 3}0.688{col 61}{space 4}-.2680062{col 74}{space 3} .4060484
{txt}{space 6}presadminyear {c |}{col 21}{res}{space 2}-.0347545{col 33}{space 2} .0249253{col 44}{space 1}   -1.39{col 53}{space 3}0.163{col 61}{space 4}-.0836072{col 74}{space 3} .0140982
{txt}{space 5}hmiresidp2reg2 {c |}{col 21}{res}{space 2} .0093006{col 33}{space 2} .0145376{col 44}{space 1}    0.64{col 53}{space 3}0.522{col 61}{space 4}-.0191926{col 74}{space 3} .0377939
{txt}{space 2}hmiresidp2reg2baa {c |}{col 21}{res}{space 2}-.0127886{col 33}{space 2} .0181134{col 44}{space 1}   -0.71{col 53}{space 3}0.480{col 61}{space 4}-.0482902{col 74}{space 3} .0227131
{txt}{space 3}unifiedpartygovt {c |}{col 21}{res}{space 2} 1.082231{col 33}{space 2} .3623859{col 44}{space 1}    2.99{col 53}{space 3}0.003{col 61}{space 4} .3719679{col 74}{space 3} 1.792494
{txt}{space 4}executiveagency {c |}{col 21}{res}{space 2}-.2118286{col 33}{space 2} .2946515{col 44}{space 1}   -0.72{col 53}{space 3}0.472{col 61}{space 4}-.7893349{col 74}{space 3} .3656777
{txt}{space 14}_cons {c |}{col 21}{res}{space 2}-1.226887{col 33}{space 2} .6838495{col 44}{space 1}   -1.79{col 53}{space 3}0.073{col 61}{space 4}-2.567207{col 74}{space 3} .1134336
{txt}{hline 20}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
       /lns1 {c |}  {res} 3.392169   .4677961     7.25   0.000{col 58} 2.475306    4.309033
       {txt}/lns2 {c |}  {res} 3.668263   .5829991     6.29   0.000{col 58} 2.525606    4.810921
         {txt}/r1 {c |}  {res} 1.387418   1.735201     0.80   0.424{col 58}-2.013514    4.788349
         {txt}/r2 {c |}  {res} 1.436121   2.263524     0.63   0.526{col 58}-3.000305    5.872548
{txt}{hline 13}{c +}{hline 64}
     sigma_1 {c |}  {res} 29.73037   13.90775{col 58} 11.88534    74.36852
     {txt}sigma_2 {c |}  {res}  39.1838   22.84412{col 58} 12.49847    122.8447
       {txt}rho_1 {c |}  {res} .8826015   .3835049{col 58}  -.96497    .9998614
       {txt}rho_2 {c |}  {res} .8929142   .4588259{col 58}-.9950578    .9999841
{txt}{hline 13}{c BT}{hline 64}
Wald test of indep. eqns. :{col 38}chi2({res}1{txt}) = {res}  112.73{col 59}{txt}Prob > chi2 = {res}0.0000
{txt}{hline 78}

{com}. *
. estat ic

{txt}Akaike's information criterion and Bayesian information criterion

{hline 13}{c TT}{hline 63}
       Model {c |}          N   ll(null)  ll(model)      df        AIC        BIC
{hline 13}{c +}{hline 63}
{ralign 12:.}{col 14}{c |}{res}{col 16}       675{col 28}-3570.269{col 39}-3513.903{col 50}    35{col 58} 7097.807{col 69} 7255.822
{txt}{hline 13}{c BT}{hline 63}
{p 0 6 0 77}Note: BIC uses N = number of observations. See {helpb bic_note:{bind:[R] BIC note}}.{p_end}

{com}. *
. *
. test [congbudchangereg2_1]hmiresidp2reg2 = [congbudchangereg2_1]hmiresidp2reg2baa = 0

{p 0 7}{space 1}{text:( 1)}{space 1} {res}[congbudchangereg2_1]hmiresidp2reg2 - [congbudchangereg2_1]hmiresidp2reg2baa = 0{p_end}
{p 0 7}{space 1}{text:( 2)}{space 1} [congbudchangereg2_1]hmiresidp2reg2 = 0{p_end}

{txt}{col 12}chi2(  2) ={res}    1.94
{txt}{col 10}Prob > chi2 =  {res}  0.3786
{txt}
{com}. test [congbudchangereg2_0]hmiresidp2reg2 = [congbudchangereg2_0]hmiresidp2reg2baa = 0

{p 0 7}{space 1}{text:( 1)}{space 1} {res}[congbudchangereg2_0]hmiresidp2reg2 - [congbudchangereg2_0]hmiresidp2reg2baa = 0{p_end}
{p 0 7}{space 1}{text:( 2)}{space 1} [congbudchangereg2_0]hmiresidp2reg2 = 0{p_end}

{txt}{col 12}chi2(  2) ={res}   14.28
{txt}{col 10}Prob > chi2 =  {res}  0.0008
{txt}
{com}. test [congbudchangereg2_1]hmiresidp2reg2 = [congbudchangereg2_1]hmiresidp2reg2baa = [congbudchangereg2_0]hmiresidp2reg2 = [congbudchangereg2_0]hmiresidp2reg2baa = 0

{p 0 7}{space 1}{text:( 1)}{space 1} {res}[congbudchangereg2_1]hmiresidp2reg2 - [congbudchangereg2_1]hmiresidp2reg2baa = 0{p_end}
{p 0 7}{space 1}{text:( 2)}{space 1} [congbudchangereg2_1]hmiresidp2reg2 - [congbudchangereg2_0]hmiresidp2reg2 = 0{p_end}
{p 0 7}{space 1}{text:( 3)}{space 1} [congbudchangereg2_1]hmiresidp2reg2 - [congbudchangereg2_0]hmiresidp2reg2baa = 0{p_end}
{p 0 7}{space 1}{text:( 4)}{space 1} [congbudchangereg2_1]hmiresidp2reg2 = 0{p_end}

{txt}{col 12}chi2(  4) ={res}   38.11
{txt}{col 10}Prob > chi2 =  {res}  0.0000
{txt}
{com}. *
. *
. *
. 
. 
. **** TABLE SI-4B: CONTROL FUNCTION MODEL ESTIMATES [PROPOSITION 2] ****
. 
. * BETA_12 [REGULAR DISCRETIONARY BUDGET MODEL]: REGIME 1: E <= A
. lincom [congbudchangereg2_1]ebcreg2baa  

{p 0 7}{space 1}{text:( 1)}{space 1} {res}[congbudchangereg2_1]ebcreg2baa = 0{p_end}

{txt}{hline 13}{c TT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{col 14}{c |}      Coef.{col 26}   Std. Err.{col 38}      z{col 46}   P>|z|{col 54}     [95% Con{col 67}f. Interval]
{hline 13}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{space 9}(1) {c |}{col 14}{res}{space 2}-.2314697{col 26}{space 2} .3837013{col 37}{space 1}   -0.60{col 46}{space 3}0.546{col 54}{space 4}-.9835105{col 67}{space 3} .5205711
{txt}{hline 13}{c BT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}

{com}. *
. *
. * BETA_22 [REGULAR DISCRETIONARY BUDGET MODEL]: REGIME 0: E > A
. lincom [congbudchangereg2_0]ebcreg2baa  

{p 0 7}{space 1}{text:( 1)}{space 1} {res}[congbudchangereg2_0]ebcreg2baa = 0{p_end}

{txt}{hline 13}{c TT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{col 14}{c |}      Coef.{col 26}   Std. Err.{col 38}      z{col 46}   P>|z|{col 54}     [95% Con{col 67}f. Interval]
{hline 13}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{space 9}(1) {c |}{col 14}{res}{space 2} 2.268125{col 26}{space 2} .8732583{col 37}{space 1}    2.60{col 46}{space 3}0.009{col 54}{space 4} .5565701{col 67}{space 3}  3.97968
{txt}{hline 13}{c BT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}

{com}. *
. *
. *
. * BETA_22 - BETA_12 [[REGULAR DISCRETIONARY BUDGET MODEL]: REGIME 1 VS. REGIME 0
. lincom [congbudchangereg2_1]ebcreg2baa - [congbudchangereg2_0]ebcreg2baa 

{p 0 7}{space 1}{text:( 1)}{space 1} {res}[congbudchangereg2_1]ebcreg2baa - [congbudchangereg2_0]ebcreg2baa = 0{p_end}

{txt}{hline 13}{c TT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{col 14}{c |}      Coef.{col 26}   Std. Err.{col 38}      z{col 46}   P>|z|{col 54}     [95% Con{col 67}f. Interval]
{hline 13}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{space 9}(1) {c |}{col 14}{res}{space 2}-2.499595{col 26}{space 2}  .707839{col 37}{space 1}   -3.53{col 46}{space 3}0.000{col 54}{space 4}-3.886934{col 67}{space 3}-1.112256
{txt}{hline 13}{c BT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}

{com}. 
. 
. 
. *********************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************
. *********************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************
. 
. 
. 
. 
. 
. *** BASELINE MODEL SPECIFICATION, II -- TOTAL DISCRETIONARY BUDGET [INCLUDES EXTRAMURAL FUNDS]: ENDOGENOUS REGIME SWITCHING REGRESSION MODELS ESTIMATED BY FIML ///
> *** [SELECTIVITY COVARIATE: AGENCY DESIGN (EXECUTIVE DEPARTMENT / INDEPENDENT AGENCY BINARY DISTINCTION)] ***
. 
. 
. 
. *** STEP 1A: ESTIMATE FIRST-STAGE ENDOGENOUS REGRESSOR REGRESSIONS WITH ALTERNATIVE INSTRUMENTS [CONGCONNECT (SEE VARIABLE LABEL FOR DEFINITION); ///
> ***          LAGGED ENDOGENOUS REGRESSOR (E.G., ARELLANO AND BOND 1991); & HIGHER MOMENTS {c -(}2ND & 3RD ORDER{c )-} OF ENDOGENOUS REGRESSOR (SEE LEWBEL 1997)]  **** 
. ***          NOTE: ONLY ESTIMATING "EXECBUDCHANGEREG2" -- LATER WILL CREATE INTERACTIONS WITH OTHER NON-ENDOGENOUS COVARIATES TO BE ESTIMATED IN THE OUTCOME EQUATION ***
. 
. 
. *** STEP 1B: COMPUTE F-STATISTIC FOR INSTRUMENT  = 0 (F ~ > 10: STRONG INSTRUMENT; F << 10: WEAK INSTRUMENT) ***
.          
.                  
. *** STEP 1C: COMPUTE RESIDUALS FROM FIRST-STAGE REGRESSION & STORE AS A NEW VARIABLE    
. 
. 
. 
. 
. 
. 
. 
. *** STEP 1A-C.i: LAGGED ENDOGENOUS REGRESSOR INSTRUMENT  ***
. 
. regress execbudchangetot2  l1execbudchangetot2 l1congbudchangetot2   bureauofbudget ///
> lnagencyage unifiedpartygovt presadminyear if agenid!=15, cluster(agenid) 

{txt}Linear regression                               Number of obs     = {res}       660
                                                {txt}F(6, 36)          =  {res}     9.94
                                                {txt}Prob > F          = {res}    0.0000
                                                {txt}R-squared         = {res}    0.0955
                                                {txt}Root MSE          =    {res} 31.876

{txt}{ralign 85:(Std. Err. adjusted for {res:37} clusters in agenid)}
{hline 20}{c TT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{col 21}{c |}{col 33}    Robust
{col 1}  execbudchangetot2{col 21}{c |}      Coef.{col 33}   Std. Err.{col 45}      t{col 53}   P>|t|{col 61}     [95% Con{col 74}f. Interval]
{hline 20}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
l1execbudchangetot2 {c |}{col 21}{res}{space 2} -.229942{col 33}{space 2}  .083002{col 44}{space 1}   -2.77{col 53}{space 3}0.009{col 61}{space 4}-.3982779{col 74}{space 3}-.0616061
{txt}l1congbudchangetot2 {c |}{col 21}{res}{space 2} .2271459{col 33}{space 2}  .112284{col 44}{space 1}    2.02{col 53}{space 3}0.051{col 61}{space 4}-.0005766{col 74}{space 3} .4548684
{txt}{space 5}bureauofbudget {c |}{col 21}{res}{space 2} 2.844793{col 33}{space 2} 2.508687{col 44}{space 1}    1.13{col 53}{space 3}0.264{col 61}{space 4}-2.243061{col 74}{space 3} 7.932646
{txt}{space 8}lnagencyage {c |}{col 21}{res}{space 2} 1.077177{col 33}{space 2} 1.573697{col 44}{space 1}    0.68{col 53}{space 3}0.498{col 61}{space 4}-2.114428{col 74}{space 3} 4.268782
{txt}{space 3}unifiedpartygovt {c |}{col 21}{res}{space 2} 8.859389{col 33}{space 2} 4.760356{col 44}{space 1}    1.86{col 53}{space 3}0.071{col 61}{space 4}-.7950603{col 74}{space 3} 18.51384
{txt}{space 6}presadminyear {c |}{col 21}{res}{space 2} 1.219334{col 33}{space 2} .7526551{col 44}{space 1}    1.62{col 53}{space 3}0.114{col 61}{space 4}-.3071216{col 74}{space 3} 2.745789
{txt}{space 14}_cons {c |}{col 21}{res}{space 2}-12.08712{col 33}{space 2} 8.885067{col 44}{space 1}   -1.36{col 53}{space 3}0.182{col 61}{space 4}-30.10687{col 74}{space 3} 5.932633
{txt}{hline 20}{c BT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{res}{txt}
{com}. *
. 
. ** TABLE SI-4A: PROPOSITION 2 [TOTAL DISCRETIONARY BUDGET MODEL: LAGGED EXECUTIVE BUDGET PROPOSAL GROWTH]
. 
. test  l1execbudchangetot2 = 0

{p 0 7}{space 1}{text:( 1)}{space 1} {res}l1execbudchangetot2 = 0{p_end}

{txt}       F(  1,    36) ={res}    7.67
{txt}{col 13}Prob > F ={res}    0.0088
{txt}
{com}.                  
.                  
.                  
. *** STEP 1A-C.ii: HIGHER MOMENTS INSTRUMENT [3rd ORDER] ***
. 
. regress execbudchangetot2   execbudchangetot2meandevcubic  l1congbudchangetot2   bureauofbudget ///
> lnagencyage unifiedpartygovt presadminyear if agenid!=15, cluster(agenid) 

{txt}Linear regression                               Number of obs     = {res}       687
                                                {txt}F(6, 38)          =  {res}    80.54
                                                {txt}Prob > F          = {res}    0.0000
                                                {txt}R-squared         = {res}    0.6504
                                                {txt}Root MSE          =    {res} 21.408

{txt}{ralign 95:(Std. Err. adjusted for {res:39} clusters in agenid)}
{hline 30}{c TT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{col 31}{c |}{col 43}    Robust
{col 1}            execbudchangetot2{col 31}{c |}      Coef.{col 43}   Std. Err.{col 55}      t{col 63}   P>|t|{col 71}     [95% Con{col 84}f. Interval]
{hline 30}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
execbudchangetot2meandevcubic {c |}{col 31}{res}{space 2} .0000304{col 43}{space 2} 1.61e-06{col 54}{space 1}   18.87{col 63}{space 3}0.000{col 71}{space 4} .0000272{col 84}{space 3} .0000337
{txt}{space 10}l1congbudchangetot2 {c |}{col 31}{res}{space 2} .0865811{col 43}{space 2} .0291367{col 54}{space 1}    2.97{col 63}{space 3}0.005{col 71}{space 4}  .027597{col 84}{space 3} .1455653
{txt}{space 15}bureauofbudget {c |}{col 31}{res}{space 2} 5.115577{col 43}{space 2} 1.577788{col 54}{space 1}    3.24{col 63}{space 3}0.002{col 71}{space 4} 1.921512{col 84}{space 3} 8.309643
{txt}{space 18}lnagencyage {c |}{col 31}{res}{space 2} .5750874{col 43}{space 2} 1.026627{col 54}{space 1}    0.56{col 63}{space 3}0.579{col 71}{space 4} -1.50321{col 84}{space 3} 2.653385
{txt}{space 13}unifiedpartygovt {c |}{col 31}{res}{space 2} 5.033192{col 43}{space 2} 2.365643{col 54}{space 1}    2.13{col 63}{space 3}0.040{col 71}{space 4} .2441983{col 84}{space 3} 9.822186
{txt}{space 16}presadminyear {c |}{col 31}{res}{space 2} .6260122{col 43}{space 2} .4579778{col 54}{space 1}    1.37{col 63}{space 3}0.180{col 71}{space 4}-.3011155{col 84}{space 3}  1.55314
{txt}{space 24}_cons {c |}{col 31}{res}{space 2}-7.560131{col 43}{space 2} 4.587767{col 54}{space 1}   -1.65{col 63}{space 3}0.108{col 71}{space 4}-16.84758{col 84}{space 3} 1.727318
{txt}{hline 30}{c BT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{res}{txt}
{com}. *
. 
. ** TABLE SI-4A: PROPOSITION 2 [TOTAL DISCRETIONARY BUDGET MODEL: 3RD MOMENT]
. 
. test  execbudchangetot2meandevcubic = 0

{p 0 7}{space 1}{text:( 1)}{space 1} {res}execbudchangetot2meandevcubic = 0{p_end}

{txt}       F(  1,    38) ={res}  356.05
{txt}{col 13}Prob > F ={res}    0.0000
{txt}
{com}. 
. predict hmiresidp2tot2, residuals
{txt}(83 missing values generated)

{com}. 
. 
. 
. 
. *** STEP 2: CREATE APPROPRIATE INTERACTIONS BETWEEN FIRST-STAGE ENDOGENOUS REGRESSOR RESIDUAL COVARIATE AND BAA BINARY INDICATOR *** 
. 
. *
. gen hmiresidp2tot2baa = hmiresidp2tot2*bureauofbudget
{txt}(83 missing values generated)

{com}. 
. 
. 
. 
. *** STEP 3A: ESTIMATE THE OUTCOME MODEL OF INTEREST AS A CONTROL FUNCTION WITH FIRST-STAGE REGRESSION RESIDUALS ///
> ***         INCLUDED AS A COVARIATE TO ACCOUNT FOR ENDOGENEITY BIAS BETWEEN EXECBUDCHANGEREG & CONGBUDCHANGEREG
. 
. 
. *** STEP 3B: COMPUTE LIKELIHOOD TEST RESTRICTION FOR RESIDUAL COVARIATES (CONTROLLING FOR ENDOGENEITY BIAS) APPEARING IN THE MODEL = 0 ***
. 
. 
. *** STEP 3C: COMPUTE POST-ESTIMATION MARGINAL EFFETS USING LINCOM ***
. 
. 
. *********************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************
. 
. 
. 
. 
. *** STEP 3A-C.iii: HIGHER-ORDER MOEMENTS OF ENDOGENOUS REGRESSOR INSTRUMENT [2ND & 3RD ORDER] ***
. 
.  
. *** BASELINE MODEL SPECIFICATION, II.iii -- TOTAL DISCRETIONARY BUDGET [EXCLUDES EXTRAMURAL FUNDS]: ENDOGENOUS REGIME SWITCHING REGRESSION MODELS ESTIMATED BY FIML ///
> *** [SELECTIVITY COVARIATE: AGENCY DESIGN (EXECUTIVE DEPARTMENT / INDEPENDENT AGENCY BINARY DISTINCTION)] ***
. 
. movestay congbudchangetot2  l1congbudchangetot2 execbudchangetot2 ebctot2baa bureauofbudget ///
> lnagencyage unifiedpartygovt hmiresidp2tot2 hmiresidp2tot2baa if agenid!=15, cluster(agenid) ///
> select(regimetot = executiveagency) difficult



Fitting initial values .....
{txt}Iteration 0:{col 16}log pseudolikelihood = {res}-3623.4989{txt}  (not concave)
Iteration 1:{col 16}log pseudolikelihood = {res}-3611.6555{txt}  
Iteration 2:{col 16}log pseudolikelihood = {res}-3599.3987{txt}  
Iteration 3:{col 16}log pseudolikelihood = {res}-3598.8019{txt}  
Iteration 4:{col 16}log pseudolikelihood = {res}-3598.7999{txt}  
Iteration 5:{col 16}log pseudolikelihood = {res}-3598.7999{txt}  
{res}
{txt}Endogenous switching regression model{col 51}Number of obs{col 67}= {res}       676
{col 51}{txt}Wald chi2({res}8{txt}){col 67}= {res}    382.33
{txt}Log pseudolikelihood = {res}-3598.7999{col 51}{txt}Prob > chi2{col 67}= {res}    0.0000

{txt}{ralign 85:(Std. Err. adjusted for {res:37} clusters in agenid)}
{hline 20}{c TT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{col 21}{c |}{col 33}    Robust
{col 21}{c |}      Coef.{col 33}   Std. Err.{col 45}      z{col 53}   P>|z|{col 61}     [95% Con{col 74}f. Interval]
{hline 20}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{res}congbudchangetot2_1 {txt}{c |}
l1congbudchangetot2 {c |}{col 21}{res}{space 2}-.3278699{col 33}{space 2} .1060048{col 44}{space 1}   -3.09{col 53}{space 3}0.002{col 61}{space 4}-.5356355{col 74}{space 3}-.1201043
{txt}{space 2}execbudchangetot2 {c |}{col 21}{res}{space 2} .8861908{col 33}{space 2} .3230003{col 44}{space 1}    2.74{col 53}{space 3}0.006{col 61}{space 4} .2531219{col 74}{space 3}  1.51926
{txt}{space 9}ebctot2baa {c |}{col 21}{res}{space 2}-.1793224{col 33}{space 2} .3019355{col 44}{space 1}   -0.59{col 53}{space 3}0.553{col 61}{space 4}-.7711052{col 74}{space 3} .4124604
{txt}{space 5}bureauofbudget {c |}{col 21}{res}{space 2}  15.0024{col 33}{space 2} 24.71224{col 44}{space 1}    0.61{col 53}{space 3}0.544{col 61}{space 4}-33.43269{col 74}{space 3} 63.43749
{txt}{space 8}lnagencyage {c |}{col 21}{res}{space 2} 1.964656{col 33}{space 2}  5.34133{col 44}{space 1}    0.37{col 53}{space 3}0.713{col 61}{space 4}-8.504158{col 74}{space 3} 12.43347
{txt}{space 3}unifiedpartygovt {c |}{col 21}{res}{space 2} 12.13493{col 33}{space 2} 98.98186{col 44}{space 1}    0.12{col 53}{space 3}0.902{col 61}{space 4}-181.8659{col 74}{space 3} 206.1358
{txt}{space 5}hmiresidp2tot2 {c |}{col 21}{res}{space 2} .1093695{col 33}{space 2} .6445721{col 44}{space 1}    0.17{col 53}{space 3}0.865{col 61}{space 4}-1.153969{col 74}{space 3} 1.372708
{txt}{space 2}hmiresidp2tot2baa {c |}{col 21}{res}{space 2}-.6532822{col 33}{space 2} .5540629{col 44}{space 1}   -1.18{col 53}{space 3}0.238{col 61}{space 4}-1.739226{col 74}{space 3} .4326612
{txt}{space 14}_cons {c |}{col 21}{res}{space 2}-38.99709{col 33}{space 2} 153.8058{col 44}{space 1}   -0.25{col 53}{space 3}0.800{col 61}{space 4}-340.4508{col 74}{space 3} 262.4567
{txt}{hline 20}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{res}congbudchangetot2_0 {txt}{c |}
l1congbudchangetot2 {c |}{col 21}{res}{space 2}-.1413394{col 33}{space 2} .1130776{col 44}{space 1}   -1.25{col 53}{space 3}0.211{col 61}{space 4}-.3629674{col 74}{space 3} .0802887
{txt}{space 2}execbudchangetot2 {c |}{col 21}{res}{space 2}-2.057786{col 33}{space 2} .7891271{col 44}{space 1}   -2.61{col 53}{space 3}0.009{col 61}{space 4}-3.604446{col 74}{space 3} -.511125
{txt}{space 9}ebctot2baa {c |}{col 21}{res}{space 2} 2.841563{col 33}{space 2} .7798672{col 44}{space 1}    3.64{col 53}{space 3}0.000{col 61}{space 4} 1.313051{col 74}{space 3} 4.370074
{txt}{space 5}bureauofbudget {c |}{col 21}{res}{space 2} 14.01118{col 33}{space 2} 11.16371{col 44}{space 1}    1.26{col 53}{space 3}0.209{col 61}{space 4}-7.869288{col 74}{space 3} 35.89165
{txt}{space 8}lnagencyage {c |}{col 21}{res}{space 2}-1.456482{col 33}{space 2} 6.311635{col 44}{space 1}   -0.23{col 53}{space 3}0.818{col 61}{space 4}-13.82706{col 74}{space 3} 10.91409
{txt}{space 3}unifiedpartygovt {c |}{col 21}{res}{space 2} 33.04604{col 33}{space 2} 15.61118{col 44}{space 1}    2.12{col 53}{space 3}0.034{col 61}{space 4} 2.448697{col 74}{space 3} 63.64338
{txt}{space 5}hmiresidp2tot2 {c |}{col 21}{res}{space 2} 2.908162{col 33}{space 2} 1.059476{col 44}{space 1}    2.74{col 53}{space 3}0.006{col 61}{space 4}  .831627{col 74}{space 3} 4.984698
{txt}{space 2}hmiresidp2tot2baa {c |}{col 21}{res}{space 2}-3.261352{col 33}{space 2} 1.017119{col 44}{space 1}   -3.21{col 53}{space 3}0.001{col 61}{space 4}-5.254868{col 74}{space 3}-1.267835
{txt}{space 14}_cons {c |}{col 21}{res}{space 2} -9.87572{col 33}{space 2} 26.87295{col 44}{space 1}   -0.37{col 53}{space 3}0.713{col 61}{space 4}-62.54572{col 74}{space 3} 42.79428
{txt}{hline 20}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{res}regimetot           {txt}{c |}
l1congbudchangetot2 {c |}{col 21}{res}{space 2} .0028959{col 33}{space 2} .0033757{col 44}{space 1}    0.86{col 53}{space 3}0.391{col 61}{space 4}-.0037204{col 74}{space 3} .0095121
{txt}{space 2}execbudchangetot2 {c |}{col 21}{res}{space 2} .0089486{col 33}{space 2} .0049512{col 44}{space 1}    1.81{col 53}{space 3}0.071{col 61}{space 4}-.0007556{col 74}{space 3} .0186528
{txt}{space 9}ebctot2baa {c |}{col 21}{res}{space 2}-.0090995{col 33}{space 2} .0051598{col 44}{space 1}   -1.76{col 53}{space 3}0.078{col 61}{space 4}-.0192125{col 74}{space 3} .0010135
{txt}{space 5}bureauofbudget {c |}{col 21}{res}{space 2} .6695035{col 33}{space 2}  .331688{col 44}{space 1}    2.02{col 53}{space 3}0.044{col 61}{space 4}  .019407{col 74}{space 3}   1.3196
{txt}{space 8}lnagencyage {c |}{col 21}{res}{space 2} .0446682{col 33}{space 2} .1124729{col 44}{space 1}    0.40{col 53}{space 3}0.691{col 61}{space 4}-.1757746{col 74}{space 3}  .265111
{txt}{space 3}unifiedpartygovt {c |}{col 21}{res}{space 2} 1.064398{col 33}{space 2} .5213683{col 44}{space 1}    2.04{col 53}{space 3}0.041{col 61}{space 4}  .042535{col 74}{space 3} 2.086261
{txt}{space 5}hmiresidp2tot2 {c |}{col 21}{res}{space 2}-.0045453{col 33}{space 2} .0091882{col 44}{space 1}   -0.49{col 53}{space 3}0.621{col 61}{space 4}-.0225539{col 74}{space 3} .0134633
{txt}{space 2}hmiresidp2tot2baa {c |}{col 21}{res}{space 2} -.000143{col 33}{space 2} .0090705{col 44}{space 1}   -0.02{col 53}{space 3}0.987{col 61}{space 4}-.0179209{col 74}{space 3} .0176349
{txt}{space 4}executiveagency {c |}{col 21}{res}{space 2}-.1976323{col 33}{space 2} .2530329{col 44}{space 1}   -0.78{col 53}{space 3}0.435{col 61}{space 4}-.6935676{col 74}{space 3} .2983031
{txt}{space 14}_cons {c |}{col 21}{res}{space 2}-1.372151{col 33}{space 2}  .698864{col 44}{space 1}   -1.96{col 53}{space 3}0.050{col 61}{space 4}-2.741899{col 74}{space 3}-.0024026
{txt}{hline 20}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
       /lns1 {c |}  {res} 3.652378    .674544     5.41   0.000{col 58} 2.330296     4.97446
       {txt}/lns2 {c |}  {res}  3.61991   .4264097     8.49   0.000{col 58} 2.784162    4.455657
         {txt}/r1 {c |}  {res} 1.319747   2.529713     0.52   0.602{col 58}  -3.6384    6.277894
         {txt}/r2 {c |}  {res} 1.417488   1.637825     0.87   0.387{col 58} -1.79259    4.627566
{txt}{hline 13}{c +}{hline 64}
     sigma_1 {c |}  {res} 38.56628   26.01465{col 58} 10.28099    144.6707
     {txt}sigma_2 {c |}  {res}  37.3342   15.91967{col 58} 16.18625    86.11275
       {txt}rho_1 {c |}  {res}  .866721   .6293794{col 58}-.9986182     .999993
       {txt}rho_2 {c |}  {res} .8890737   .3432028{col 58}-.9460332    .9998088
{txt}{hline 13}{c BT}{hline 64}
Wald test of indep. eqns. :{col 38}chi2({res}1{txt}) = {res}  108.21{col 59}{txt}Prob > chi2 = {res}0.0000
{txt}{hline 78}

{com}. *
. estat ic

{txt}Akaike's information criterion and Bayesian information criterion

{hline 13}{c TT}{hline 63}
       Model {c |}          N   ll(null)  ll(model)      df        AIC        BIC
{hline 13}{c +}{hline 63}
{ralign 12:.}{col 14}{c |}{res}{col 16}       676{col 28}-3652.906{col 39}  -3598.8{col 50}    32{col 58}   7261.6{col 69} 7406.118
{txt}{hline 13}{c BT}{hline 63}
{p 0 6 0 77}Note: BIC uses N = number of observations. See {helpb bic_note:{bind:[R] BIC note}}.{p_end}

{com}. *
. *
. *
. test [congbudchangetot2_1]hmiresidp2tot2 = [congbudchangetot2_1]hmiresidp2tot2baa = 0

{p 0 7}{space 1}{text:( 1)}{space 1} {res}[congbudchangetot2_1]hmiresidp2tot2 - [congbudchangetot2_1]hmiresidp2tot2baa = 0{p_end}
{p 0 7}{space 1}{text:( 2)}{space 1} [congbudchangetot2_1]hmiresidp2tot2 = 0{p_end}

{txt}{col 12}chi2(  2) ={res}    9.18
{txt}{col 10}Prob > chi2 =  {res}  0.0102
{txt}
{com}. test [congbudchangetot2_0]hmiresidp2tot2 = [congbudchangetot2_0]hmiresidp2tot2baa = 0

{p 0 7}{space 1}{text:( 1)}{space 1} {res}[congbudchangetot2_0]hmiresidp2tot2 - [congbudchangetot2_0]hmiresidp2tot2baa = 0{p_end}
{p 0 7}{space 1}{text:( 2)}{space 1} [congbudchangetot2_0]hmiresidp2tot2 = 0{p_end}

{txt}{col 12}chi2(  2) ={res}   12.64
{txt}{col 10}Prob > chi2 =  {res}  0.0018
{txt}
{com}. test [congbudchangetot2_1]hmiresidp2tot2 = [congbudchangetot2_1]hmiresidp2tot2baa = [congbudchangetot2_0]hmiresidp2tot2 = [congbudchangetot2_0]hmiresidp2tot2baa = 0

{p 0 7}{space 1}{text:( 1)}{space 1} {res}[congbudchangetot2_1]hmiresidp2tot2 - [congbudchangetot2_1]hmiresidp2tot2baa = 0{p_end}
{p 0 7}{space 1}{text:( 2)}{space 1} [congbudchangetot2_1]hmiresidp2tot2 - [congbudchangetot2_0]hmiresidp2tot2 = 0{p_end}
{p 0 7}{space 1}{text:( 3)}{space 1} [congbudchangetot2_1]hmiresidp2tot2 - [congbudchangetot2_0]hmiresidp2tot2baa = 0{p_end}
{p 0 7}{space 1}{text:( 4)}{space 1} [congbudchangetot2_1]hmiresidp2tot2 = 0{p_end}

{txt}{col 12}chi2(  4) ={res}   33.23
{txt}{col 10}Prob > chi2 =  {res}  0.0000
{txt}
{com}. *
. *
. *
. 
. **** TABLE SI-4B: CONTROL FUNCTION MODEL ESTIMATES [PROPOSITION 2] ****
. 
. * BETA_12 [TOTAL DISCRETIONARY BUDGET MODEL]: REGIME 1: E <= A
. lincom [congbudchangetot2_1]ebctot2baa  

{p 0 7}{space 1}{text:( 1)}{space 1} {res}[congbudchangetot2_1]ebctot2baa = 0{p_end}

{txt}{hline 13}{c TT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{col 14}{c |}      Coef.{col 26}   Std. Err.{col 38}      z{col 46}   P>|z|{col 54}     [95% Con{col 67}f. Interval]
{hline 13}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{space 9}(1) {c |}{col 14}{res}{space 2}-.1793224{col 26}{space 2} .3019355{col 37}{space 1}   -0.59{col 46}{space 3}0.553{col 54}{space 4}-.7711052{col 67}{space 3} .4124604
{txt}{hline 13}{c BT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}

{com}. *
. *
. * BETA_22 [TOTAL DISCRETIONARY BUDGET MODEL]: REGIME 0: E > A
. lincom [congbudchangetot2_0]ebctot2baa  

{p 0 7}{space 1}{text:( 1)}{space 1} {res}[congbudchangetot2_0]ebctot2baa = 0{p_end}

{txt}{hline 13}{c TT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{col 14}{c |}      Coef.{col 26}   Std. Err.{col 38}      z{col 46}   P>|z|{col 54}     [95% Con{col 67}f. Interval]
{hline 13}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{space 9}(1) {c |}{col 14}{res}{space 2} 2.841563{col 26}{space 2} .7798672{col 37}{space 1}    3.64{col 46}{space 3}0.000{col 54}{space 4} 1.313051{col 67}{space 3} 4.370074
{txt}{hline 13}{c BT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}

{com}. *
. *
. *
. * BETA_22 - BETA_12 [TOTAL DISCRETIONARY BUDGET MODEL]: REGIME 1 VS. REGIME 0
. lincom [congbudchangetot2_1]ebctot2baa - [congbudchangetot2_0]ebctot2baa 

{p 0 7}{space 1}{text:( 1)}{space 1} {res}[congbudchangetot2_1]ebctot2baa - [congbudchangetot2_0]ebctot2baa = 0{p_end}

{txt}{hline 13}{c TT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{col 14}{c |}      Coef.{col 26}   Std. Err.{col 38}      z{col 46}   P>|z|{col 54}     [95% Con{col 67}f. Interval]
{hline 13}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{space 9}(1) {c |}{col 14}{res}{space 2}-3.020885{col 26}{space 2} .7477083{col 37}{space 1}   -4.04{col 46}{space 3}0.000{col 54}{space 4}-4.486366{col 67}{space 3}-1.555404
{txt}{hline 13}{c BT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}

{com}. 
. 
. 
. *********************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************
. *********************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************
. 
.   
.   
.  
.  
.  
.  ******* PROPOSITION 3: DOES CENTRALIZATION [VIA BAA REFORMS] REDUCE THE BUDGETARY INFLUENCE OF AGENCY HEADS? **********
.  
. 
. 
. 
. *********************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************
. 
. 
. 
. 
. *** AUGMENTED TENURE DIFFERENTIAL MODEL SPECIFICATION, I  -- REGULAR DISCRETIONARY BUDGET [EXCLUDES EXTRAMURAL FUNDS]: ///
> *** ENDOGENOUS REGIME SWITCHING REGRESSION MODELS ESTIMATED BY FIML ///
> *** [SELECTIVITY COVARIATE: AGENCY DESIGN (EXECUTIVE DEPARTMENT / INDEPENDENT AGENCY BINARY DISTINCTION)] ***
. *** LN [AGENCY HEAD TENURE [AHT]] *** FULL SAMPLE OF AHT OBSERVATIONS ***
. *** LINEAR INTERACTION EFFECT IN AGENCY HEAD COVARIATE: CONTINUOUS AGENCY HEAD COVARIATE ***
. 
. 
. 
. *********************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************
. 
. 
. 
. *** STEP 1A: ESTIMATE FIRST-STAGE ENDOGENOUS REGRESSOR REGRESSIONS WITH ALTERNATIVE INSTRUMENTS [CONGCONNECT (SEE VARIABLE LABEL FOR DEFINITION); ///
> ***          LAGGED ENDOGENOUS REGRESSOR (E.G., ARELLANO AND BOND 1991); & HIGHER MOMENTS {c -(}2ND & 3RD ORDER{c )-} OF ENDOGENOUS REGRESSOR (SEE LEWBEL 1997)]  **** 
. ***          NOTE: ONLY ESTIMATING "EXECBUDCHANGEREG2" -- LATER WILL CREATE INTERACTIONS WITH OTHER NON-ENDOGENOUS COVARIATES TO BE ESTIMATED IN THE OUTCOME EQUATION ***
. 
. 
. *** STEP 1B: COMPUTE F-STATISTIC FOR INSTRUMENT  = 0 (F ~ > 10: STRONG INSTRUMENT; F << 10: WEAK INSTRUMENT) ***
.          
.                  
. *** STEP 1C: COMPUTE RESIDUALS FROM FIRST-STAGE REGRESSION & STORE AS A NEW VARIABLE    
. 
. 
. *********************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************
. 
. 
. 
. *** STEP 1A-C.i: LAGGED ENDOGENOUS REGRESSOR INSTRUMENT  ***
. 
. regress execbudchangereg2  l1execbudchangereg2  l1congbudchangereg2   bureauofbudget lnagencyheadtenure ///
> lnagencyage  unifiedpartygovt presadminyear if agenid!=15, cluster(agenid) 

{txt}Linear regression                               Number of obs     = {res}       657
                                                {txt}F(7, 36)          =  {res}     7.89
                                                {txt}Prob > F          = {res}    0.0000
                                                {txt}R-squared         = {res}    0.1224
                                                {txt}Root MSE          =    {res} 27.155

{txt}{ralign 85:(Std. Err. adjusted for {res:37} clusters in agenid)}
{hline 20}{c TT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{col 21}{c |}{col 33}    Robust
{col 1}  execbudchangereg2{col 21}{c |}      Coef.{col 33}   Std. Err.{col 45}      t{col 53}   P>|t|{col 61}     [95% Con{col 74}f. Interval]
{hline 20}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
l1execbudchangereg2 {c |}{col 21}{res}{space 2}-.2638925{col 33}{space 2} .1234976{col 44}{space 1}   -2.14{col 53}{space 3}0.039{col 61}{space 4}-.5143573{col 74}{space 3}-.0134277
{txt}l1congbudchangereg2 {c |}{col 21}{res}{space 2} .2726253{col 33}{space 2} .1052146{col 44}{space 1}    2.59{col 53}{space 3}0.014{col 61}{space 4} .0592402{col 74}{space 3} .4860104
{txt}{space 5}bureauofbudget {c |}{col 21}{res}{space 2} 3.811641{col 33}{space 2} 2.372223{col 44}{space 1}    1.61{col 53}{space 3}0.117{col 61}{space 4}-.9994493{col 74}{space 3} 8.622732
{txt}{space 1}lnagencyheadtenure {c |}{col 21}{res}{space 2} .2735201{col 33}{space 2} 1.243739{col 44}{space 1}    0.22{col 53}{space 3}0.827{col 61}{space 4}  -2.2489{col 74}{space 3}  2.79594
{txt}{space 8}lnagencyage {c |}{col 21}{res}{space 2}  .484147{col 33}{space 2} 1.543297{col 44}{space 1}    0.31{col 53}{space 3}0.756{col 61}{space 4}-2.645804{col 74}{space 3} 3.614098
{txt}{space 3}unifiedpartygovt {c |}{col 21}{res}{space 2} 5.755232{col 33}{space 2}  3.30563{col 44}{space 1}    1.74{col 53}{space 3}0.090{col 61}{space 4}-.9488971{col 74}{space 3} 12.45936
{txt}{space 6}presadminyear {c |}{col 21}{res}{space 2} 1.179847{col 33}{space 2} .5749859{col 44}{space 1}    2.05{col 53}{space 3}0.048{col 61}{space 4} .0137213{col 74}{space 3} 2.345972
{txt}{space 14}_cons {c |}{col 21}{res}{space 2}-9.345842{col 33}{space 2} 8.058044{col 44}{space 1}   -1.16{col 53}{space 3}0.254{col 61}{space 4}-25.68831{col 74}{space 3} 6.996629
{txt}{hline 20}{c BT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{res}{txt}
{com}. *
. ** TABLE SI-4A: PROPOSITION 3 [REGULAR DISCRETIONARY BUDGET MODEL: LAGGED EXECUTIVE BUDGET PROPOSAL GROWTH]
. 
. test  l1execbudchangereg2 = 0

{p 0 7}{space 1}{text:( 1)}{space 1} {res}l1execbudchangereg2 = 0{p_end}

{txt}       F(  1,    36) ={res}    4.57
{txt}{col 13}Prob > F ={res}    0.0395
{txt}
{com}. 
. 
. *** STEP 1A-C.ii: HIGHER MOMENTS INSTRUMENTS [2nd & 3rd ORDER] ***
. 
. regress execbudchangereg2  execbudchangereg2meandevsq  execbudchangereg2meandevcubic  l1congbudchangereg2   bureauofbudget lnagencyheadtenure ///
> lnagencyage  unifiedpartygovt presadminyear if agenid!=15, cluster(agenid)

{txt}Linear regression                               Number of obs     = {res}       684
                                                {txt}F(8, 38)          =  {res}    21.46
                                                {txt}Prob > F          = {res}    0.0000
                                                {txt}R-squared         = {res}    0.5849
                                                {txt}Root MSE          =    {res} 20.044

{txt}{ralign 95:(Std. Err. adjusted for {res:39} clusters in agenid)}
{hline 30}{c TT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{col 31}{c |}{col 43}    Robust
{col 1}            execbudchangereg2{col 31}{c |}      Coef.{col 43}   Std. Err.{col 55}      t{col 63}   P>|t|{col 71}     [95% Con{col 84}f. Interval]
{hline 30}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{space 3}execbudchangereg2meandevsq {c |}{col 31}{res}{space 2} .0014453{col 43}{space 2} .0005156{col 54}{space 1}    2.80{col 63}{space 3}0.008{col 71}{space 4} .0004015{col 84}{space 3} .0024892
{txt}execbudchangereg2meandevcubic {c |}{col 31}{res}{space 2} .0000355{col 43}{space 2} 3.69e-06{col 54}{space 1}    9.62{col 63}{space 3}0.000{col 71}{space 4}  .000028{col 84}{space 3}  .000043
{txt}{space 10}l1congbudchangereg2 {c |}{col 31}{res}{space 2} .1246372{col 43}{space 2} .0305427{col 54}{space 1}    4.08{col 63}{space 3}0.000{col 71}{space 4} .0628067{col 84}{space 3} .1864677
{txt}{space 15}bureauofbudget {c |}{col 31}{res}{space 2} 3.276029{col 43}{space 2} 1.705991{col 54}{space 1}    1.92{col 63}{space 3}0.062{col 71}{space 4}-.1775689{col 84}{space 3} 6.729627
{txt}{space 11}lnagencyheadtenure {c |}{col 31}{res}{space 2} .1596066{col 43}{space 2} .7906635{col 54}{space 1}    0.20{col 63}{space 3}0.841{col 71}{space 4}-1.441008{col 84}{space 3} 1.760221
{txt}{space 18}lnagencyage {c |}{col 31}{res}{space 2} 1.456909{col 43}{space 2} .8783706{col 54}{space 1}    1.66{col 63}{space 3}0.105{col 71}{space 4} -.321259{col 84}{space 3} 3.235077
{txt}{space 13}unifiedpartygovt {c |}{col 31}{res}{space 2} 5.676198{col 43}{space 2} 2.065492{col 54}{space 1}    2.75{col 63}{space 3}0.009{col 71}{space 4} 1.494829{col 84}{space 3} 9.857568
{txt}{space 16}presadminyear {c |}{col 31}{res}{space 2} .6199832{col 43}{space 2} .4322394{col 54}{space 1}    1.43{col 63}{space 3}0.160{col 71}{space 4}-.2550398{col 84}{space 3} 1.495006
{txt}{space 24}_cons {c |}{col 31}{res}{space 2}-11.73327{col 43}{space 2} 4.476612{col 54}{space 1}   -2.62{col 63}{space 3}0.013{col 71}{space 4}-20.79569{col 84}{space 3}-2.670842
{txt}{hline 30}{c BT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{res}{txt}
{com}. *
. 
. ** TABLE SI-4A: PROPOSITION 3 [REGULAR DISCRETIONARY BUDGET MODEL: 2ND & 3RD MOMENTS]
. 
. test  execbudchangereg2meandevsq = execbudchangereg2meandevcubic = 0

{p 0 7}{space 1}{text:( 1)}{space 1} {res}execbudchangereg2meandevsq - execbudchangereg2meandevcubic = 0{p_end}
{p 0 7}{space 1}{text:( 2)}{space 1} execbudchangereg2meandevsq = 0{p_end}

{txt}       F(  2,    38) ={res}   47.92
{txt}{col 13}Prob > F ={res}    0.0000
{txt}
{com}. *
. predict hmiresidp3reg2, residuals
{txt}(86 missing values generated)

{com}. 
. 
. 
. *** STEP 2: CREATE APPROPRIATE INTERACTIONS BETWEEN FIRST-STAGE ENDOGENOUS REGRESSOR RESIDUAL COVARIATE AND BAA BINARY INDICATOR *** 
. *
. gen hmiresidp3reg2baa = hmiresidp3reg2*bureauofbudget
{txt}(86 missing values generated)

{com}. *
. gen hmiresidp3reg2lnaht = hmiresidp3reg2*lnagencyheadtenure
{txt}(86 missing values generated)

{com}. *
. gen hmiresidp3reg2baalnaht = hmiresidp3reg2*lnagencyheadtenure*bureauofbudget
{txt}(86 missing values generated)

{com}. 
. 
. 
. 
. 
. *** STEP 3A: ESTIMATE THE OUTCOME MODEL OF INTEREST AS A CONTROL FUNCTION WITH FIRST-STAGE REGRESSION RESIDUALS ///
> ***         INCLUDED AS A COVARIATE TO ACCOUNT FOR ENDOGENEITY BIAS BETWEEN EXECBUDCHANGEREG2 & CONGBUDCHANGEREG2
. 
. 
. *** STEP 3B: COMPUTE LIKELIHOOD TEST RESTRICTION FOR RESIDUAL COVARIATES (CONTROLLING FOR ENDOGENEITY BIAS) APPEARING IN THE MODEL = 0 ***
. 
. 
. *** STEP 3C: COMPUTE POST-ESTIMATION MARGINAL EFFETS USING LINCOM ***
. 
.   
. 
. *********************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************
. 
. 
. 
. 
. *** STEP 3A-C.iii: HIGHER-ORDER MOEMENTS OF ENDOGENOUS REGRESSOR INSTRUMENT [2ND & 3RD ORDER] ***
. 
. 
. movestay (congbudchangereg2 l1congbudchangereg2  execbudchangereg2 bureauofbudget ebcreg2baa lnagencyheadtenure  baalnaht  ebcreg2lnaht  ebcreg2baalnaht  ///
> lnagencyage unifiedpartygovt presadminyear hmiresidp3reg2 hmiresidp3reg2baa hmiresidp3reg2lnaht hmiresidp3reg2baalnaht) ///
> if agenid!=15 , cluster(agenid) select(regimereg = executiveagency) difficult



Fitting initial values .....
{txt}Iteration 0:{col 16}log pseudolikelihood = {res}-3513.7489{txt}  (not concave)
Iteration 1:{col 16}log pseudolikelihood = {res}-3507.7907{txt}  
Iteration 2:{col 16}log pseudolikelihood = {res}-3507.4989{txt}  
Iteration 3:{col 16}log pseudolikelihood = {res}-3497.5223{txt}  
Iteration 4:{col 16}log pseudolikelihood = {res}-3496.7434{txt}  
Iteration 5:{col 16}log pseudolikelihood = {res}-3496.7185{txt}  
Iteration 6:{col 16}log pseudolikelihood = {res}-3496.7185{txt}  
{res}
{txt}Endogenous switching regression model{col 51}Number of obs{col 67}= {res}       674
{col 51}{help j_robustsingular:Wald chi2(0){col 67}= }         .
{txt}Log pseudolikelihood = {res}-3496.7185{col 51}{txt}Prob > chi2{col 67}= {res}         .

{txt}{ralign 88:(Std. Err. adjusted for {res:37} clusters in agenid)}
{hline 23}{c TT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{col 24}{c |}{col 36}    Robust
{col 24}{c |}      Coef.{col 36}   Std. Err.{col 48}      z{col 56}   P>|z|{col 64}     [95% Con{col 77}f. Interval]
{hline 23}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{res}congbudchangereg2_1    {txt}{c |}
{space 3}l1congbudchangereg2 {c |}{col 24}{res}{space 2}-.2004996{col 36}{space 2} .1196767{col 47}{space 1}   -1.68{col 56}{space 3}0.094{col 64}{space 4}-.4350617{col 77}{space 3} .0340625
{txt}{space 5}execbudchangereg2 {c |}{col 24}{res}{space 2}-.3256191{col 36}{space 2} .9662646{col 47}{space 1}   -0.34{col 56}{space 3}0.736{col 64}{space 4}-2.219463{col 77}{space 3} 1.568225
{txt}{space 8}bureauofbudget {c |}{col 24}{res}{space 2} 10.62269{col 36}{space 2} 16.97201{col 47}{space 1}    0.63{col 56}{space 3}0.531{col 64}{space 4}-22.64183{col 77}{space 3} 43.88721
{txt}{space 12}ebcreg2baa {c |}{col 24}{res}{space 2} 1.119356{col 36}{space 2} 1.025377{col 47}{space 1}    1.09{col 56}{space 3}0.275{col 64}{space 4}-.8903466{col 77}{space 3} 3.129058
{txt}{space 4}lnagencyheadtenure {c |}{col 24}{res}{space 2}-.5615836{col 36}{space 2} 5.612199{col 47}{space 1}   -0.10{col 56}{space 3}0.920{col 64}{space 4}-11.56129{col 77}{space 3} 10.43812
{txt}{space 14}baalnaht {c |}{col 24}{res}{space 2} 2.153969{col 36}{space 2}   3.9728{col 47}{space 1}    0.54{col 56}{space 3}0.588{col 64}{space 4}-5.632576{col 77}{space 3} 9.940514
{txt}{space 10}ebcreg2lnaht {c |}{col 24}{res}{space 2} 1.383236{col 36}{space 2} .6836369{col 47}{space 1}    2.02{col 56}{space 3}0.043{col 64}{space 4} .0433324{col 77}{space 3}  2.72314
{txt}{space 7}ebcreg2baalnaht {c |}{col 24}{res}{space 2}-1.711815{col 36}{space 2} .5978748{col 47}{space 1}   -2.86{col 56}{space 3}0.004{col 64}{space 4}-2.883628{col 77}{space 3}-.5400016
{txt}{space 11}lnagencyage {c |}{col 24}{res}{space 2} .4189131{col 36}{space 2} 2.761496{col 47}{space 1}    0.15{col 56}{space 3}0.879{col 64}{space 4}-4.993519{col 77}{space 3} 5.831345
{txt}{space 6}unifiedpartygovt {c |}{col 24}{res}{space 2} 23.63341{col 36}{space 2} 49.06158{col 47}{space 1}    0.48{col 56}{space 3}0.630{col 64}{space 4}-72.52552{col 77}{space 3} 119.7923
{txt}{space 9}presadminyear {c |}{col 24}{res}{space 2}-1.328388{col 36}{space 2} 1.167479{col 47}{space 1}   -1.14{col 56}{space 3}0.255{col 64}{space 4}-3.616605{col 77}{space 3} .9598286
{txt}{space 8}hmiresidp3reg2 {c |}{col 24}{res}{space 2} 1.250004{col 36}{space 2} 1.342244{col 47}{space 1}    0.93{col 56}{space 3}0.352{col 64}{space 4}-1.380746{col 77}{space 3} 3.880754
{txt}{space 5}hmiresidp3reg2baa {c |}{col 24}{res}{space 2}-1.846996{col 36}{space 2} 1.538139{col 47}{space 1}   -1.20{col 56}{space 3}0.230{col 64}{space 4}-4.861693{col 77}{space 3} 1.167702
{txt}{space 3}hmiresidp3reg2lnaht {c |}{col 24}{res}{space 2}-1.327673{col 36}{space 2} .9396471{col 47}{space 1}   -1.41{col 56}{space 3}0.158{col 64}{space 4}-3.169348{col 77}{space 3} .5140013
{txt}hmiresidp3reg2baalnaht {c |}{col 24}{res}{space 2} 1.840727{col 36}{space 2} .8805285{col 47}{space 1}    2.09{col 56}{space 3}0.037{col 64}{space 4} .1149232{col 77}{space 3} 3.566532
{txt}{space 17}_cons {c |}{col 24}{res}{space 2}-36.32482{col 36}{space 2} 84.91141{col 47}{space 1}   -0.43{col 56}{space 3}0.669{col 64}{space 4}-202.7481{col 77}{space 3} 130.0985
{txt}{hline 23}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{res}congbudchangereg2_0    {txt}{c |}
{space 3}l1congbudchangereg2 {c |}{col 24}{res}{space 2}-.1978102{col 36}{space 2} .1708522{col 47}{space 1}   -1.16{col 56}{space 3}0.247{col 64}{space 4}-.5326743{col 77}{space 3} .1370539
{txt}{space 5}execbudchangereg2 {c |}{col 24}{res}{space 2}-2.189775{col 36}{space 2} 1.354124{col 47}{space 1}   -1.62{col 56}{space 3}0.106{col 64}{space 4}-4.843809{col 77}{space 3} .4642581
{txt}{space 8}bureauofbudget {c |}{col 24}{res}{space 2}-5.504098{col 36}{space 2} 7.358235{col 47}{space 1}   -0.75{col 56}{space 3}0.454{col 64}{space 4}-19.92597{col 77}{space 3} 8.917778
{txt}{space 12}ebcreg2baa {c |}{col 24}{res}{space 2} 2.916605{col 36}{space 2} 1.399139{col 47}{space 1}    2.08{col 56}{space 3}0.037{col 64}{space 4} .1743435{col 77}{space 3} 5.658867
{txt}{space 4}lnagencyheadtenure {c |}{col 24}{res}{space 2}-1.357758{col 36}{space 2}  2.58596{col 47}{space 1}   -0.53{col 56}{space 3}0.600{col 64}{space 4}-6.426146{col 77}{space 3} 3.710629
{txt}{space 14}baalnaht {c |}{col 24}{res}{space 2} .8551701{col 36}{space 2} 4.049617{col 47}{space 1}    0.21{col 56}{space 3}0.833{col 64}{space 4}-7.081933{col 77}{space 3} 8.792273
{txt}{space 10}ebcreg2lnaht {c |}{col 24}{res}{space 2} .5975988{col 36}{space 2} .7841331{col 47}{space 1}    0.76{col 56}{space 3}0.446{col 64}{space 4}-.9392738{col 77}{space 3} 2.134471
{txt}{space 7}ebcreg2baalnaht {c |}{col 24}{res}{space 2}-.5498712{col 36}{space 2} .8258808{col 47}{space 1}   -0.67{col 56}{space 3}0.506{col 64}{space 4}-2.168568{col 77}{space 3} 1.068826
{txt}{space 11}lnagencyage {c |}{col 24}{res}{space 2} 3.469345{col 36}{space 2} 2.177894{col 47}{space 1}    1.59{col 56}{space 3}0.111{col 64}{space 4}-.7992482{col 77}{space 3} 7.737938
{txt}{space 6}unifiedpartygovt {c |}{col 24}{res}{space 2} 6.149578{col 36}{space 2} 9.224172{col 47}{space 1}    0.67{col 56}{space 3}0.505{col 64}{space 4}-11.92947{col 77}{space 3} 24.22862
{txt}{space 9}presadminyear {c |}{col 24}{res}{space 2}-1.299327{col 36}{space 2}   .59337{col 47}{space 1}   -2.19{col 56}{space 3}0.029{col 64}{space 4}-2.462311{col 77}{space 3}-.1363431
{txt}{space 8}hmiresidp3reg2 {c |}{col 24}{res}{space 2} 2.623504{col 36}{space 2} 1.554978{col 47}{space 1}    1.69{col 56}{space 3}0.092{col 64}{space 4}-.4241967{col 77}{space 3} 5.671204
{txt}{space 5}hmiresidp3reg2baa {c |}{col 24}{res}{space 2}-2.796524{col 36}{space 2} 1.797072{col 47}{space 1}   -1.56{col 56}{space 3}0.120{col 64}{space 4} -6.31872{col 77}{space 3} .7256723
{txt}{space 3}hmiresidp3reg2lnaht {c |}{col 24}{res}{space 2}-.3161109{col 36}{space 2} .8608327{col 47}{space 1}   -0.37{col 56}{space 3}0.713{col 64}{space 4}-2.003312{col 77}{space 3}  1.37109
{txt}hmiresidp3reg2baalnaht {c |}{col 24}{res}{space 2} .3112417{col 36}{space 2} 1.046564{col 47}{space 1}    0.30{col 56}{space 3}0.766{col 64}{space 4}-1.739986{col 77}{space 3}  2.36247
{txt}{space 17}_cons {c |}{col 24}{res}{space 2}-17.47121{col 36}{space 2} 10.22569{col 47}{space 1}   -1.71{col 56}{space 3}0.088{col 64}{space 4}-37.51318{col 77}{space 3} 2.570767
{txt}{hline 23}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{res}regimereg              {txt}{c |}
{space 3}l1congbudchangereg2 {c |}{col 24}{res}{space 2} .0076268{col 36}{space 2} .0040785{col 47}{space 1}    1.87{col 56}{space 3}0.061{col 64}{space 4}-.0003669{col 77}{space 3} .0156206
{txt}{space 8}bureauofbudget {c |}{col 24}{res}{space 2} .5441877{col 36}{space 2}  .284214{col 47}{space 1}    1.91{col 56}{space 3}0.056{col 64}{space 4}-.0128616{col 77}{space 3} 1.101237
{txt}{space 12}ebcreg2baa {c |}{col 24}{res}{space 2}  .002317{col 36}{space 2} .0292168{col 47}{space 1}    0.08{col 56}{space 3}0.937{col 64}{space 4}-.0549469{col 77}{space 3} .0595808
{txt}{space 14}baalnaht {c |}{col 24}{res}{space 2}-.0662002{col 36}{space 2} .1888534{col 47}{space 1}   -0.35{col 56}{space 3}0.726{col 64}{space 4} -.436346{col 77}{space 3} .3039456
{txt}{space 10}ebcreg2lnaht {c |}{col 24}{res}{space 2} .0048783{col 36}{space 2}  .020017{col 47}{space 1}    0.24{col 56}{space 3}0.807{col 64}{space 4}-.0343543{col 77}{space 3} .0441109
{txt}{space 7}ebcreg2baalnaht {c |}{col 24}{res}{space 2}-.0027826{col 36}{space 2} .0218608{col 47}{space 1}   -0.13{col 56}{space 3}0.899{col 64}{space 4}-.0456289{col 77}{space 3} .0400637
{txt}{space 11}lnagencyage {c |}{col 24}{res}{space 2}-.0410429{col 36}{space 2} .1001067{col 47}{space 1}   -0.41{col 56}{space 3}0.682{col 64}{space 4}-.2372484{col 77}{space 3} .1551626
{txt}{space 9}presadminyear {c |}{col 24}{res}{space 2}-.0225278{col 36}{space 2} .0289406{col 47}{space 1}   -0.78{col 56}{space 3}0.436{col 64}{space 4}-.0792503{col 77}{space 3} .0341948
{txt}{space 8}hmiresidp3reg2 {c |}{col 24}{res}{space 2} .0154409{col 36}{space 2} .0372524{col 47}{space 1}    0.41{col 56}{space 3}0.679{col 64}{space 4}-.0575725{col 77}{space 3} .0884543
{txt}{space 5}hmiresidp3reg2baa {c |}{col 24}{res}{space 2}-.0283387{col 36}{space 2} .0438945{col 47}{space 1}   -0.65{col 56}{space 3}0.519{col 64}{space 4}-.1143704{col 77}{space 3} .0576929
{txt}{space 3}hmiresidp3reg2lnaht {c |}{col 24}{res}{space 2}-.0116919{col 36}{space 2} .0290221{col 47}{space 1}   -0.40{col 56}{space 3}0.687{col 64}{space 4}-.0685741{col 77}{space 3} .0451904
{txt}hmiresidp3reg2baalnaht {c |}{col 24}{res}{space 2} .0166143{col 36}{space 2} .0328825{col 47}{space 1}    0.51{col 56}{space 3}0.613{col 64}{space 4}-.0478342{col 77}{space 3} .0810629
{txt}{space 5}execbudchangereg2 {c |}{col 24}{res}{space 2}-.0068026{col 36}{space 2} .0262322{col 47}{space 1}   -0.26{col 56}{space 3}0.795{col 64}{space 4}-.0582168{col 77}{space 3} .0446116
{txt}{space 4}lnagencyheadtenure {c |}{col 24}{res}{space 2} .0796598{col 36}{space 2} .1282693{col 47}{space 1}    0.62{col 56}{space 3}0.535{col 64}{space 4}-.1717434{col 77}{space 3}  .331063
{txt}{space 6}unifiedpartygovt {c |}{col 24}{res}{space 2} 1.176172{col 36}{space 2} .2798503{col 47}{space 1}    4.20{col 56}{space 3}0.000{col 64}{space 4} .6276757{col 77}{space 3} 1.724669
{txt}{space 7}executiveagency {c |}{col 24}{res}{space 2}-.2930264{col 36}{space 2} .1469857{col 47}{space 1}   -1.99{col 56}{space 3}0.046{col 64}{space 4}-.5811132{col 77}{space 3}-.0049397
{txt}{space 17}_cons {c |}{col 24}{res}{space 2}-1.056311{col 36}{space 2} .5972109{col 47}{space 1}   -1.77{col 56}{space 3}0.077{col 64}{space 4}-2.226823{col 77}{space 3} .1142011
{txt}{hline 23}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
       /lns1 {c |}  {res} 3.407291   .6731053     5.06   0.000{col 58} 2.088029    4.726553
       {txt}/lns2 {c |}  {res} 3.375898   .0620156    54.44   0.000{col 58}  3.25435    3.497446
         {txt}/r1 {c |}  {res} 1.628517   2.793359     0.58   0.560{col 58}-3.846366    7.103399
         {txt}/r2 {c |}  {res}-.2665568   .4927515    -0.54   0.589{col 58}-1.232332    .6992184
{txt}{hline 13}{c +}{hline 64}
     sigma_1 {c |}  {res} 30.18336   20.31658{col 58} 8.068994    112.9057
     {txt}sigma_2 {c |}  {res} 29.25055   1.813989{col 58} 25.90277      33.031
       {txt}rho_1 {c |}  {res}   .92585   .3988964{col 58}-.9990882    .9999986
       {txt}rho_2 {c |}  {res} -.260418   .4593343{col 58}-.8432544    .6038714
{txt}{hline 13}{c BT}{hline 64}
Wald test of indep. eqns. :{col 38}chi2({res}1{txt}) = {res}   69.97{col 59}{txt}Prob > chi2 = {res}0.0000
{txt}{hline 78}

{com}. *
. estat ic

{txt}Akaike's information criterion and Bayesian information criterion

{hline 13}{c TT}{hline 63}
       Model {c |}          N   ll(null)  ll(model)      df        AIC        BIC
{hline 13}{c +}{hline 63}
{ralign 12:.}{col 14}{c |}{res}{col 16}       674{col 28}-3531.705{col 39}-3496.718{col 50}    36{col 58} 7065.437{col 69} 7227.913
{txt}{hline 13}{c BT}{hline 63}
{p 0 6 0 77}Note: BIC uses N = number of observations. See {helpb bic_note:{bind:[R] BIC note}}.{p_end}

{com}. *
. *
. test [congbudchangereg2_1]hmiresidp3reg2 = [congbudchangereg2_1]hmiresidp3reg2baa = [congbudchangereg2_1]hmiresidp3reg2lnaht = [congbudchangereg2_1]hmiresidp3reg2baalnaht = 0

{p 0 7}{space 1}{text:( 1)}{space 1} {res}[congbudchangereg2_1]hmiresidp3reg2 - [congbudchangereg2_1]hmiresidp3reg2baa = 0{p_end}
{p 0 7}{space 1}{text:( 2)}{space 1} [congbudchangereg2_1]hmiresidp3reg2 - [congbudchangereg2_1]hmiresidp3reg2lnaht = 0{p_end}
{p 0 7}{space 1}{text:( 3)}{space 1} [congbudchangereg2_1]hmiresidp3reg2 - [congbudchangereg2_1]hmiresidp3reg2baalnaht = 0{p_end}
{p 0 7}{space 1}{text:( 4)}{space 1} [congbudchangereg2_1]hmiresidp3reg2 = 0{p_end}

{txt}{col 12}chi2(  4) ={res}   35.29
{txt}{col 10}Prob > chi2 =  {res}  0.0000
{txt}
{com}. test [congbudchangereg2_0]hmiresidp3reg2 = [congbudchangereg2_0]hmiresidp3reg2baa = [congbudchangereg2_0]hmiresidp3reg2lnaht = [congbudchangereg2_0]hmiresidp3reg2baalnaht = 0

{p 0 7}{space 1}{text:( 1)}{space 1} {res}[congbudchangereg2_0]hmiresidp3reg2 - [congbudchangereg2_0]hmiresidp3reg2baa = 0{p_end}
{p 0 7}{space 1}{text:( 2)}{space 1} [congbudchangereg2_0]hmiresidp3reg2 - [congbudchangereg2_0]hmiresidp3reg2lnaht = 0{p_end}
{p 0 7}{space 1}{text:( 3)}{space 1} [congbudchangereg2_0]hmiresidp3reg2 - [congbudchangereg2_0]hmiresidp3reg2baalnaht = 0{p_end}
{p 0 7}{space 1}{text:( 4)}{space 1} [congbudchangereg2_0]hmiresidp3reg2 = 0{p_end}

{txt}{col 12}chi2(  4) ={res}    8.95
{txt}{col 10}Prob > chi2 =  {res}  0.0623
{txt}
{com}. test [congbudchangereg2_1]hmiresidp3reg2 = [congbudchangereg2_1]hmiresidp3reg2baa = [congbudchangereg2_1]hmiresidp3reg2lnaht = [congbudchangereg2_1]hmiresidp3reg2baalnaht = ///
> [congbudchangereg2_0]hmiresidp3reg2 = [congbudchangereg2_0]hmiresidp3reg2baa = [congbudchangereg2_0]hmiresidp3reg2lnaht = [congbudchangereg2_0]hmiresidp3reg2baalnaht = 0

{p 0 7}{space 1}{text:( 1)}{space 1} {res}[congbudchangereg2_1]hmiresidp3reg2 - [congbudchangereg2_1]hmiresidp3reg2baa = 0{p_end}
{p 0 7}{space 1}{text:( 2)}{space 1} [congbudchangereg2_1]hmiresidp3reg2 - [congbudchangereg2_1]hmiresidp3reg2lnaht = 0{p_end}
{p 0 7}{space 1}{text:( 3)}{space 1} [congbudchangereg2_1]hmiresidp3reg2 - [congbudchangereg2_1]hmiresidp3reg2baalnaht = 0{p_end}
{p 0 7}{space 1}{text:( 4)}{space 1} [congbudchangereg2_1]hmiresidp3reg2 - [congbudchangereg2_0]hmiresidp3reg2 = 0{p_end}
{p 0 7}{space 1}{text:( 5)}{space 1} [congbudchangereg2_1]hmiresidp3reg2 - [congbudchangereg2_0]hmiresidp3reg2baa = 0{p_end}
{p 0 7}{space 1}{text:( 6)}{space 1} [congbudchangereg2_1]hmiresidp3reg2 - [congbudchangereg2_0]hmiresidp3reg2lnaht = 0{p_end}
{p 0 7}{space 1}{text:( 7)}{space 1} [congbudchangereg2_1]hmiresidp3reg2 - [congbudchangereg2_0]hmiresidp3reg2baalnaht = 0{p_end}
{p 0 7}{space 1}{text:( 8)}{space 1} [congbudchangereg2_1]hmiresidp3reg2 = 0{p_end}

{txt}{col 12}chi2(  8) ={res}   43.89
{txt}{col 10}Prob > chi2 =  {res}  0.0000
{txt}
{com}. 
. 
. 
. 
. **** TABLE SI-4B: CONTROL FUNCTION MODEL ESTIMATES [PROPOSITION 3] ****
. 
. 
. ** BETA_13 [REGULAR DISCRETIONARY BUDGET MODEL]: REGIME 1: E <= A **
. 
. lincom [congbudchangereg2_1]ebcreg2lnaht 

{p 0 7}{space 1}{text:( 1)}{space 1} {res}[congbudchangereg2_1]ebcreg2lnaht = 0{p_end}

{txt}{hline 13}{c TT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{col 14}{c |}      Coef.{col 26}   Std. Err.{col 38}      z{col 46}   P>|z|{col 54}     [95% Con{col 67}f. Interval]
{hline 13}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{space 9}(1) {c |}{col 14}{res}{space 2} 1.383236{col 26}{space 2} .6836369{col 37}{space 1}    2.02{col 46}{space 3}0.043{col 54}{space 4} .0433324{col 67}{space 3}  2.72314
{txt}{hline 13}{c BT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}

{com}. *
. 
. ** BETA_23 [REGULAR DISCRETIONARY BUDGET MODEL]: REGIME 0: E > A **
. lincom [congbudchangereg2_0]ebcreg2lnaht 

{p 0 7}{space 1}{text:( 1)}{space 1} {res}[congbudchangereg2_0]ebcreg2lnaht = 0{p_end}

{txt}{hline 13}{c TT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{col 14}{c |}      Coef.{col 26}   Std. Err.{col 38}      z{col 46}   P>|z|{col 54}     [95% Con{col 67}f. Interval]
{hline 13}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{space 9}(1) {c |}{col 14}{res}{space 2} .5975988{col 26}{space 2} .7841331{col 37}{space 1}    0.76{col 46}{space 3}0.446{col 54}{space 4}-.9392738{col 67}{space 3} 2.134471
{txt}{hline 13}{c BT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}

{com}. *
. 
. ** BETA_14 [REGULAR DISCRETIONARY BUDGET MODEL]: REGIME 1: E <= A **
. lincom  [congbudchangereg2_1]ebcreg2baalnaht

{p 0 7}{space 1}{text:( 1)}{space 1} {res}[congbudchangereg2_1]ebcreg2baalnaht = 0{p_end}

{txt}{hline 13}{c TT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{col 14}{c |}      Coef.{col 26}   Std. Err.{col 38}      z{col 46}   P>|z|{col 54}     [95% Con{col 67}f. Interval]
{hline 13}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{space 9}(1) {c |}{col 14}{res}{space 2}-1.711815{col 26}{space 2} .5978748{col 37}{space 1}   -2.86{col 46}{space 3}0.004{col 54}{space 4}-2.883628{col 67}{space 3}-.5400016
{txt}{hline 13}{c BT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}

{com}. *
. 
. ** BETA_24 [REGULAR DISCRETIONARY BUDGET MODEL]: REGIME 0: E > A **
. lincom  [congbudchangereg2_0]ebcreg2baalnaht 

{p 0 7}{space 1}{text:( 1)}{space 1} {res}[congbudchangereg2_0]ebcreg2baalnaht = 0{p_end}

{txt}{hline 13}{c TT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{col 14}{c |}      Coef.{col 26}   Std. Err.{col 38}      z{col 46}   P>|z|{col 54}     [95% Con{col 67}f. Interval]
{hline 13}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{space 9}(1) {c |}{col 14}{res}{space 2}-.5498712{col 26}{space 2} .8258808{col 37}{space 1}   -0.67{col 46}{space 3}0.506{col 54}{space 4}-2.168568{col 67}{space 3} 1.068826
{txt}{hline 13}{c BT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}

{com}. 
. 
. 
. *********************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************
. *********************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************
. 
. 
. 
. 
. 
. *** AUGMENTED TENURE DIFFERENTIAL MODEL SPECIFICATION, II  -- TOTAL DISCRETIONARY BUDGET [INCLUDING EXTRAMURAL FUNDS]: ///
> *** ENDOGENOUS REGIME SWITCHING REGRESSION MODELS ESTIMATED BY FIML ///
> *** [SELECTIVITY COVARIATE: AGENCY DESIGN (EXECUTIVE DEPARTMENT / INDEPENDENT AGENCY BINARY DISTINCTION)] ***
. *** LN [AGENCY HEAD TENURE [AHT]] *** FULL SAMPLE OF AHT OBSERVATIONS ***
. *** LINEAR INTERACTION EFFECT IN AGENCY HEAD COVARIATE: CONTINUOUS AGENCY HEAD COVARIATE ***
. 
. 
. 
. 
. 
. *********************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************
. 
. 
. 
. *** STEP 1A: ESTIMATE FIRST-STAGE ENDOGENOUS REGRESSOR REGRESSIONS WITH ALTERNATIVE INSTRUMENTS [CONGCONNECT (SEE VARIABLE LABEL FOR DEFINITION); ///
> ***          LAGGED ENDOGENOUS REGRESSOR (E.G., ARELLANO AND BOND 1991); & HIGHER MOMENTS {c -(}2ND & 3RD ORDER{c )-} OF ENDOGENOUS REGRESSOR (SEE LEWBEL 1997)]  **** 
. ***          NOTE: ONLY ESTIMATING "EXECBUDCHANGEREG2" -- LATER WILL CREATE INTERACTIONS WITH OTHER NON-ENDOGENOUS COVARIATES TO BE ESTIMATED IN THE OUTCOME EQUATION ***
. 
. 
. *** STEP 1B: COMPUTE F-STATISTIC FOR INSTRUMENT  = 0 (F ~ > 10: STRONG INSTRUMENT; F << 10: WEAK INSTRUMENT) ***
.          
.                  
. *** STEP 1C: COMPUTE RESIDUALS FROM FIRST-STAGE REGRESSION & STORE AS A NEW VARIABLE    
. 
. 
. ***************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************
. 
. 
. *** STEP 1A-C.i: LAGGED ENDOGENOUS REGRESSOR INSTRUMENT  ***
. 
. regress execbudchangetot2  l1execbudchangetot2  l1congbudchangetot2   bureauofbudget lnagencyheadtenure ///
> lnagencyage  unifiedpartygovt presadminyear if agenid!=15, cluster(agenid)

{txt}Linear regression                               Number of obs     = {res}       658
                                                {txt}F(7, 36)          =  {res}     9.33
                                                {txt}Prob > F          = {res}    0.0000
                                                {txt}R-squared         = {res}    0.0949
                                                {txt}Root MSE          =    {res} 31.893

{txt}{ralign 85:(Std. Err. adjusted for {res:37} clusters in agenid)}
{hline 20}{c TT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{col 21}{c |}{col 33}    Robust
{col 1}  execbudchangetot2{col 21}{c |}      Coef.{col 33}   Std. Err.{col 45}      t{col 53}   P>|t|{col 61}     [95% Con{col 74}f. Interval]
{hline 20}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
l1execbudchangetot2 {c |}{col 21}{res}{space 2}  -.23131{col 33}{space 2} .0827629{col 44}{space 1}   -2.79{col 53}{space 3}0.008{col 61}{space 4}-.3991611{col 74}{space 3} -.063459
{txt}l1congbudchangetot2 {c |}{col 21}{res}{space 2} .2298935{col 33}{space 2} .1172891{col 44}{space 1}    1.96{col 53}{space 3}0.058{col 61}{space 4}-.0079799{col 74}{space 3} .4677668
{txt}{space 5}bureauofbudget {c |}{col 21}{res}{space 2} 2.578029{col 33}{space 2} 2.599178{col 44}{space 1}    0.99{col 53}{space 3}0.328{col 61}{space 4}-2.693348{col 74}{space 3} 7.849406
{txt}{space 1}lnagencyheadtenure {c |}{col 21}{res}{space 2} .7765173{col 33}{space 2} 1.412769{col 44}{space 1}    0.55{col 53}{space 3}0.586{col 61}{space 4}-2.088712{col 74}{space 3} 3.641746
{txt}{space 8}lnagencyage {c |}{col 21}{res}{space 2}  1.04358{col 33}{space 2} 1.590632{col 44}{space 1}    0.66{col 53}{space 3}0.516{col 61}{space 4}-2.182371{col 74}{space 3} 4.269531
{txt}{space 3}unifiedpartygovt {c |}{col 21}{res}{space 2} 8.565148{col 33}{space 2} 4.801792{col 44}{space 1}    1.78{col 53}{space 3}0.083{col 61}{space 4}-1.173337{col 74}{space 3} 18.30363
{txt}{space 6}presadminyear {c |}{col 21}{res}{space 2} 1.237482{col 33}{space 2} .7313472{col 44}{space 1}    1.69{col 53}{space 3}0.099{col 61}{space 4}-.2457592{col 74}{space 3} 2.720723
{txt}{space 14}_cons {c |}{col 21}{res}{space 2}-12.42432{col 33}{space 2} 9.519265{col 44}{space 1}   -1.31{col 53}{space 3}0.200{col 61}{space 4}-31.73029{col 74}{space 3}  6.88164
{txt}{hline 20}{c BT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{res}{txt}
{com}. *
. ** TABLE SI-4A: PROPOSITION 3 [TOTAL DISCRETIONARY BUDGET MODEL: LAGGED EXECUTIVE BUDGET PROPOSAL GROWTH]
. test  l1execbudchangetot2 = 0

{p 0 7}{space 1}{text:( 1)}{space 1} {res}l1execbudchangetot2 = 0{p_end}

{txt}       F(  1,    36) ={res}    7.81
{txt}{col 13}Prob > F ={res}    0.0083
{txt}
{com}. 
. 
. *** STEP 1A-C.ii: HIGHER MOMENTS INSTRUMENTS [3rd ORDER] ***
. 
. regress execbudchangetot2   execbudchangetot2meandevcubic  l1congbudchangetot2   bureauofbudget lnagencyheadtenure ///
> lnagencyage  unifiedpartygovt presadminyear if agenid!=15, cluster(agenid)

{txt}Linear regression                               Number of obs     = {res}       685
                                                {txt}F(7, 38)          =  {res}    69.64
                                                {txt}Prob > F          = {res}    0.0000
                                                {txt}R-squared         = {res}    0.6510
                                                {txt}Root MSE          =    {res}   21.4

{txt}{ralign 95:(Std. Err. adjusted for {res:39} clusters in agenid)}
{hline 30}{c TT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{col 31}{c |}{col 43}    Robust
{col 1}            execbudchangetot2{col 31}{c |}      Coef.{col 43}   Std. Err.{col 55}      t{col 63}   P>|t|{col 71}     [95% Con{col 84}f. Interval]
{hline 30}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
execbudchangetot2meandevcubic {c |}{col 31}{res}{space 2} .0000304{col 43}{space 2} 1.61e-06{col 54}{space 1}   18.92{col 63}{space 3}0.000{col 71}{space 4} .0000272{col 84}{space 3} .0000337
{txt}{space 10}l1congbudchangetot2 {c |}{col 31}{res}{space 2} .0855731{col 43}{space 2}  .030139{col 54}{space 1}    2.84{col 63}{space 3}0.007{col 71}{space 4}   .02456{col 84}{space 3} .1465863
{txt}{space 15}bureauofbudget {c |}{col 31}{res}{space 2} 4.962708{col 43}{space 2} 1.599905{col 54}{space 1}    3.10{col 63}{space 3}0.004{col 71}{space 4} 1.723869{col 84}{space 3} 8.201546
{txt}{space 11}lnagencyheadtenure {c |}{col 31}{res}{space 2} .3700179{col 43}{space 2} 1.068767{col 54}{space 1}    0.35{col 63}{space 3}0.731{col 71}{space 4}-1.793589{col 84}{space 3} 2.533624
{txt}{space 18}lnagencyage {c |}{col 31}{res}{space 2} .5113427{col 43}{space 2} 1.015332{col 54}{space 1}    0.50{col 63}{space 3}0.617{col 71}{space 4} -1.54409{col 84}{space 3} 2.566775
{txt}{space 13}unifiedpartygovt {c |}{col 31}{res}{space 2} 4.810555{col 43}{space 2} 2.368797{col 54}{space 1}    2.03{col 63}{space 3}0.049{col 71}{space 4} .0151763{col 84}{space 3} 9.605933
{txt}{space 16}presadminyear {c |}{col 31}{res}{space 2} .6503094{col 43}{space 2} .4581421{col 54}{space 1}    1.42{col 63}{space 3}0.164{col 71}{space 4}-.2771508{col 84}{space 3}  1.57777
{txt}{space 24}_cons {c |}{col 31}{res}{space 2}-7.481931{col 43}{space 2} 4.924844{col 54}{space 1}   -1.52{col 63}{space 3}0.137{col 71}{space 4}-17.45176{col 84}{space 3} 2.487895
{txt}{hline 30}{c BT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{res}{txt}
{com}. *
. ** TABLE SI-4A: PROPOSITION 3 [TOTAL DISCRETIONARY BUDGET MODEL: 3RD MOMENT]
. 
. test  execbudchangetot2meandevcubic = 0

{p 0 7}{space 1}{text:( 1)}{space 1} {res}execbudchangetot2meandevcubic = 0{p_end}

{txt}       F(  1,    38) ={res}  357.84
{txt}{col 13}Prob > F ={res}    0.0000
{txt}
{com}. 
. predict hmiresidp3tot2, residuals
{txt}(85 missing values generated)

{com}. 
. 
. 
. 
. *** STEP 2: CREATE APPROPRIATE INTERACTIONS BETWEEN FIRST-STAGE ENDOGENOUS REGRESSOR RESIDUAL COVARIATE AND BAA BINARY INDICATOR *** 
. *
. gen hmiresidp3tot2baa = hmiresidp3tot2*bureauofbudget
{txt}(85 missing values generated)

{com}. *
. gen hmiresidp3tot2lnaht = hmiresidp3tot2*lnagencyheadtenure
{txt}(85 missing values generated)

{com}. *
. gen hmiresidp3tot2baalnaht = hmiresidp3tot2*lnagencyheadtenure*bureauofbudget
{txt}(85 missing values generated)

{com}. 
. 
. 
. 
. 
. *** STEP 3A: ESTIMATE THE OUTCOME MODEL OF INTEREST AS A CONTROL FUNCTION WITH FIRST-STAGE REGRESSION RESIDUALS ///
> ***         INCLUDED AS A COVARIATE TO ACCOUNT FOR ENDOGENEITY BIAS BETWEEN EXECBUDCHANGEREG2 & CONGBUDCHANGEREG2
. 
. 
. *** STEP 3B: COMPUTE LIKELIHOOD TEST RESTRICTION FOR RESIDUAL COVARIATES (CONTROLLING FOR ENDOGENEITY BIAS) APPEARING IN THE MODEL = 0 ***
. 
. 
. *** STEP 3C: COMPUTE POST-ESTIMATION MARGINAL EFFETS USING LINCOM ***
. 
.  
.  
. ***************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************
. 
. 
. 
. *** STEP 3A-C.iii: HIGHER-ORDER MOEMENTS OF ENDOGENOUS REGRESSOR INSTRUMENT [2ND & 3RD ORDER] ***
. 
. 
. movestay (congbudchangetot2 l1congbudchangetot2  execbudchangetot2 bureauofbudget ebctot2baa lnagencyheadtenure baalnaht  ebctot2lnaht  ebctot2baalnaht  ///
> lnagencyage  unifiedpartygovt presadminyear hmiresidp3tot2 hmiresidp3tot2baa hmiresidp3tot2lnaht hmiresidp3tot2baalnaht) ///
> if agenid!=15 , cluster(agenid) select(regimetot = executiveagency) difficult



Fitting initial values .....
{txt}Iteration 0:{col 16}log pseudolikelihood = {res}-3585.0474{txt}  (not concave)
Iteration 1:{col 16}log pseudolikelihood = {res}-3579.9123{txt}  (not concave)
Iteration 2:{col 16}log pseudolikelihood = {res}-3575.3905{txt}  
Iteration 3:{col 16}log pseudolikelihood = {res}-3571.3409{txt}  
Iteration 4:{col 16}log pseudolikelihood = {res} -3559.422{txt}  
Iteration 5:{col 16}log pseudolikelihood = {res}-3555.0309{txt}  
Iteration 6:{col 16}log pseudolikelihood = {res}-3554.9864{txt}  
Iteration 7:{col 16}log pseudolikelihood = {res}-3554.9864{txt}  
{res}
{txt}Endogenous switching regression model{col 51}Number of obs{col 67}= {res}       675
{col 51}{help j_robustsingular:Wald chi2(0){col 67}= }         .
{txt}Log pseudolikelihood = {res}-3554.9864{col 51}{txt}Prob > chi2{col 67}= {res}         .

{txt}{ralign 88:(Std. Err. adjusted for {res:37} clusters in agenid)}
{hline 23}{c TT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{col 24}{c |}{col 36}    Robust
{col 24}{c |}      Coef.{col 36}   Std. Err.{col 48}      z{col 56}   P>|z|{col 64}     [95% Con{col 77}f. Interval]
{hline 23}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{res}congbudchangetot2_1    {txt}{c |}
{space 3}l1congbudchangetot2 {c |}{col 24}{res}{space 2}-.3175784{col 36}{space 2} .1201252{col 47}{space 1}   -2.64{col 56}{space 3}0.008{col 64}{space 4}-.5530194{col 77}{space 3}-.0821373
{txt}{space 5}execbudchangetot2 {c |}{col 24}{res}{space 2} .3704829{col 36}{space 2} .2081099{col 47}{space 1}    1.78{col 56}{space 3}0.075{col 64}{space 4}-.0374049{col 77}{space 3} .7783708
{txt}{space 8}bureauofbudget {c |}{col 24}{res}{space 2}  16.5962{col 36}{space 2} 27.15927{col 47}{space 1}    0.61{col 56}{space 3}0.541{col 64}{space 4}-36.63498{col 77}{space 3} 69.82738
{txt}{space 12}ebctot2baa {c |}{col 24}{res}{space 2} .3674365{col 36}{space 2} .2378681{col 47}{space 1}    1.54{col 56}{space 3}0.122{col 64}{space 4}-.0987763{col 77}{space 3} .8336494
{txt}{space 4}lnagencyheadtenure {c |}{col 24}{res}{space 2} 3.268433{col 36}{space 2} 9.657972{col 47}{space 1}    0.34{col 56}{space 3}0.735{col 64}{space 4}-15.66084{col 77}{space 3} 22.19771
{txt}{space 14}baalnaht {c |}{col 24}{res}{space 2}-1.421815{col 36}{space 2} 6.007177{col 47}{space 1}   -0.24{col 56}{space 3}0.813{col 64}{space 4}-13.19567{col 77}{space 3} 10.35204
{txt}{space 10}ebctot2lnaht {c |}{col 24}{res}{space 2} 1.119651{col 36}{space 2} .6700627{col 47}{space 1}    1.67{col 56}{space 3}0.095{col 64}{space 4}-.1936476{col 77}{space 3}  2.43295
{txt}{space 7}ebctot2baalnaht {c |}{col 24}{res}{space 2} -1.29641{col 36}{space 2} .7708327{col 47}{space 1}   -1.68{col 56}{space 3}0.093{col 64}{space 4}-2.807215{col 77}{space 3} .2143939
{txt}{space 11}lnagencyage {c |}{col 24}{res}{space 2} 2.339843{col 36}{space 2} 5.098048{col 47}{space 1}    0.46{col 56}{space 3}0.646{col 64}{space 4}-7.652148{col 77}{space 3} 12.33183
{txt}{space 6}unifiedpartygovt {c |}{col 24}{res}{space 2} 17.45505{col 36}{space 2} 79.95537{col 47}{space 1}    0.22{col 56}{space 3}0.827{col 64}{space 4}-139.2546{col 77}{space 3} 174.1647
{txt}{space 9}presadminyear {c |}{col 24}{res}{space 2}-1.566825{col 36}{space 2} 1.730368{col 47}{space 1}   -0.91{col 56}{space 3}0.365{col 64}{space 4}-4.958284{col 77}{space 3} 1.824635
{txt}{space 8}hmiresidp3tot2 {c |}{col 24}{res}{space 2} .2352907{col 36}{space 2} .3016576{col 47}{space 1}    0.78{col 56}{space 3}0.435{col 64}{space 4}-.3559473{col 77}{space 3} .8265288
{txt}{space 5}hmiresidp3tot2baa {c |}{col 24}{res}{space 2}-1.056766{col 36}{space 2} .3689539{col 47}{space 1}   -2.86{col 56}{space 3}0.004{col 64}{space 4}-1.779903{col 77}{space 3}-.3336298
{txt}{space 3}hmiresidp3tot2lnaht {c |}{col 24}{res}{space 2}-.6755753{col 36}{space 2} .7525184{col 47}{space 1}   -0.90{col 56}{space 3}0.369{col 64}{space 4}-2.150484{col 77}{space 3} .7993337
{txt}hmiresidp3tot2baalnaht {c |}{col 24}{res}{space 2} 1.183536{col 36}{space 2} .7258157{col 47}{space 1}    1.63{col 56}{space 3}0.103{col 64}{space 4}-.2390364{col 77}{space 3} 2.606109
{txt}{space 17}_cons {c |}{col 24}{res}{space 2}-42.72277{col 36}{space 2} 133.2637{col 47}{space 1}   -0.32{col 56}{space 3}0.749{col 64}{space 4}-303.9148{col 77}{space 3} 218.4692
{txt}{hline 23}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{res}congbudchangetot2_0    {txt}{c |}
{space 3}l1congbudchangetot2 {c |}{col 24}{res}{space 2}-.1393834{col 36}{space 2} .1055643{col 47}{space 1}   -1.32{col 56}{space 3}0.187{col 64}{space 4}-.3462856{col 77}{space 3} .0675188
{txt}{space 5}execbudchangetot2 {c |}{col 24}{res}{space 2}-2.265296{col 36}{space 2} 1.514927{col 47}{space 1}   -1.50{col 56}{space 3}0.135{col 64}{space 4}-5.234499{col 77}{space 3} .7039067
{txt}{space 8}bureauofbudget {c |}{col 24}{res}{space 2} 14.37535{col 36}{space 2} 15.34696{col 47}{space 1}    0.94{col 56}{space 3}0.349{col 64}{space 4}-15.70413{col 77}{space 3} 44.45483
{txt}{space 12}ebctot2baa {c |}{col 24}{res}{space 2} 3.030564{col 36}{space 2} 1.473461{col 47}{space 1}    2.06{col 56}{space 3}0.040{col 64}{space 4} .1426326{col 77}{space 3} 5.918495
{txt}{space 4}lnagencyheadtenure {c |}{col 24}{res}{space 2} 2.177016{col 36}{space 2} 3.177359{col 47}{space 1}    0.69{col 56}{space 3}0.493{col 64}{space 4}-4.050492{col 77}{space 3} 8.404525
{txt}{space 14}baalnaht {c |}{col 24}{res}{space 2}-4.296474{col 36}{space 2} 6.776743{col 47}{space 1}   -0.63{col 56}{space 3}0.526{col 64}{space 4}-17.57865{col 77}{space 3} 8.985698
{txt}{space 10}ebctot2lnaht {c |}{col 24}{res}{space 2} .3391335{col 36}{space 2}  1.06179{col 47}{space 1}    0.32{col 56}{space 3}0.749{col 64}{space 4}-1.741937{col 77}{space 3} 2.420204
{txt}{space 7}ebctot2baalnaht {c |}{col 24}{res}{space 2}-.2862926{col 36}{space 2} 1.059259{col 47}{space 1}   -0.27{col 56}{space 3}0.787{col 64}{space 4}-2.362402{col 77}{space 3} 1.789817
{txt}{space 11}lnagencyage {c |}{col 24}{res}{space 2} -1.57167{col 36}{space 2} 5.861539{col 47}{space 1}   -0.27{col 56}{space 3}0.789{col 64}{space 4}-13.06007{col 77}{space 3} 9.916735
{txt}{space 6}unifiedpartygovt {c |}{col 24}{res}{space 2} 26.46747{col 36}{space 2} 14.94905{col 47}{space 1}    1.77{col 56}{space 3}0.077{col 64}{space 4} -2.83214{col 77}{space 3} 55.76707
{txt}{space 9}presadminyear {c |}{col 24}{res}{space 2}-2.039155{col 36}{space 2}  .717817{col 47}{space 1}   -2.84{col 56}{space 3}0.005{col 64}{space 4} -3.44605{col 77}{space 3}-.6322592
{txt}{space 8}hmiresidp3tot2 {c |}{col 24}{res}{space 2} 2.751757{col 36}{space 2} 1.912633{col 47}{space 1}    1.44{col 56}{space 3}0.150{col 64}{space 4}-.9969341{col 77}{space 3} 6.500449
{txt}{space 5}hmiresidp3tot2baa {c |}{col 24}{res}{space 2}-3.186715{col 36}{space 2} 1.787394{col 47}{space 1}   -1.78{col 56}{space 3}0.075{col 64}{space 4}-6.689943{col 77}{space 3} .3165133
{txt}{space 3}hmiresidp3tot2lnaht {c |}{col 24}{res}{space 2}-.1300212{col 36}{space 2} 1.225367{col 47}{space 1}   -0.11{col 56}{space 3}0.915{col 64}{space 4}-2.531696{col 77}{space 3} 2.271653
{txt}hmiresidp3tot2baalnaht {c |}{col 24}{res}{space 2} .1662159{col 36}{space 2} 1.242614{col 47}{space 1}    0.13{col 56}{space 3}0.894{col 64}{space 4}-2.269263{col 77}{space 3} 2.601695
{txt}{space 17}_cons {c |}{col 24}{res}{space 2} 1.975899{col 36}{space 2} 23.29971{col 47}{space 1}    0.08{col 56}{space 3}0.932{col 64}{space 4}-43.69069{col 77}{space 3} 47.64248
{txt}{hline 23}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{res}regimetot              {txt}{c |}
{space 3}l1congbudchangetot2 {c |}{col 24}{res}{space 2}   .00327{col 36}{space 2} .0043104{col 47}{space 1}    0.76{col 56}{space 3}0.448{col 64}{space 4}-.0051783{col 77}{space 3} .0117183
{txt}{space 5}execbudchangetot2 {c |}{col 24}{res}{space 2}-.0015429{col 36}{space 2} .0093163{col 47}{space 1}   -0.17{col 56}{space 3}0.868{col 64}{space 4}-.0198025{col 77}{space 3} .0167166
{txt}{space 8}bureauofbudget {c |}{col 24}{res}{space 2} .8141665{col 36}{space 2} .2813271{col 47}{space 1}    2.89{col 56}{space 3}0.004{col 64}{space 4} .2627755{col 77}{space 3} 1.365558
{txt}{space 14}baalnaht {c |}{col 24}{res}{space 2}-.1687236{col 36}{space 2} .2748571{col 47}{space 1}   -0.61{col 56}{space 3}0.539{col 64}{space 4}-.7074335{col 77}{space 3} .3699864
{txt}{space 10}ebctot2lnaht {c |}{col 24}{res}{space 2} .0150429{col 36}{space 2} .0243033{col 47}{space 1}    0.62{col 56}{space 3}0.536{col 64}{space 4}-.0325907{col 77}{space 3} .0626765
{txt}{space 7}ebctot2baalnaht {c |}{col 24}{res}{space 2}-.0145176{col 36}{space 2} .0255573{col 47}{space 1}   -0.57{col 56}{space 3}0.570{col 64}{space 4}-.0646089{col 77}{space 3} .0355737
{txt}{space 11}lnagencyage {c |}{col 24}{res}{space 2} .0475277{col 36}{space 2} .0693744{col 47}{space 1}    0.69{col 56}{space 3}0.493{col 64}{space 4}-.0884436{col 77}{space 3} .1834989
{txt}{space 6}unifiedpartygovt {c |}{col 24}{res}{space 2} .9924459{col 36}{space 2} .4830943{col 47}{space 1}    2.05{col 56}{space 3}0.040{col 64}{space 4} .0455985{col 77}{space 3} 1.939293
{txt}{space 9}presadminyear {c |}{col 24}{res}{space 2}-.0662485{col 36}{space 2} .0290477{col 47}{space 1}   -2.28{col 56}{space 3}0.023{col 64}{space 4}-.1231809{col 77}{space 3} -.009316
{txt}{space 8}hmiresidp3tot2 {c |}{col 24}{res}{space 2} .0032836{col 36}{space 2} .0165885{col 47}{space 1}    0.20{col 56}{space 3}0.843{col 64}{space 4}-.0292292{col 77}{space 3} .0357964
{txt}{space 3}hmiresidp3tot2lnaht {c |}{col 24}{res}{space 2}-.0156007{col 36}{space 2} .0235743{col 47}{space 1}   -0.66{col 56}{space 3}0.508{col 64}{space 4}-.0618055{col 77}{space 3}  .030604
{txt}hmiresidp3tot2baalnaht {c |}{col 24}{res}{space 2}  .012713{col 36}{space 2} .0231742{col 47}{space 1}    0.55{col 56}{space 3}0.583{col 64}{space 4}-.0327076{col 77}{space 3} .0581336
{txt}{space 12}ebctot2baa {c |}{col 24}{res}{space 2} .0020279{col 36}{space 2} .0111308{col 47}{space 1}    0.18{col 56}{space 3}0.855{col 64}{space 4} -.019788{col 77}{space 3} .0238438
{txt}{space 4}lnagencyheadtenure {c |}{col 24}{res}{space 2} .1846657{col 36}{space 2} .1474054{col 47}{space 1}    1.25{col 56}{space 3}0.210{col 64}{space 4}-.1042435{col 77}{space 3}  .473575
{txt}{space 5}hmiresidp3tot2baa {c |}{col 24}{res}{space 2}-.0063232{col 36}{space 2} .0172657{col 47}{space 1}   -0.37{col 56}{space 3}0.714{col 64}{space 4}-.0401634{col 77}{space 3}  .027517
{txt}{space 7}executiveagency {c |}{col 24}{res}{space 2}-.1728934{col 36}{space 2} .4211318{col 47}{space 1}   -0.41{col 56}{space 3}0.681{col 64}{space 4}-.9982967{col 77}{space 3} .6525098
{txt}{space 17}_cons {c |}{col 24}{res}{space 2} -1.29317{col 36}{space 2} .6014928{col 47}{space 1}   -2.15{col 56}{space 3}0.032{col 64}{space 4}-2.472074{col 77}{space 3}-.1142661
{txt}{hline 23}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
       /lns1 {c |}  {res} 3.623841   .6591831     5.50   0.000{col 58} 2.331866    4.915816
       {txt}/lns2 {c |}  {res} 3.549261   .4619504     7.68   0.000{col 58} 2.643855    4.454667
         {txt}/r1 {c |}  {res} 1.397078   2.531795     0.55   0.581{col 58}-3.565148    6.359304
         {txt}/r2 {c |}  {res} 1.399814    1.83065     0.76   0.444{col 58}-2.188195    4.987823
{txt}{hline 13}{c +}{hline 64}
     sigma_1 {c |}  {res} 37.48126   24.70701{col 58} 10.29714    136.4306
     {txt}sigma_2 {c |}  {res} 34.78759   16.07014{col 58} 14.06732    86.02748
       {txt}rho_1 {c |}  {res} .8847185   .5500912{col 58}-.9984003     .999994
       {txt}rho_2 {c |}  {res} .8853114   .3958299{col 58}-.9751708     .999907
{txt}{hline 13}{c BT}{hline 64}
Wald test of indep. eqns. :{col 38}chi2({res}1{txt}) = {res}   96.08{col 59}{txt}Prob > chi2 = {res}0.0000
{txt}{hline 78}

{com}. *
. estat ic

{txt}Akaike's information criterion and Bayesian information criterion

{hline 13}{c TT}{hline 63}
       Model {c |}          N   ll(null)  ll(model)      df        AIC        BIC
{hline 13}{c +}{hline 63}
{ralign 12:.}{col 14}{c |}{res}{col 16}       675{col 28}-3603.028{col 39}-3554.986{col 50}    36{col 58} 7181.973{col 69} 7344.503
{txt}{hline 13}{c BT}{hline 63}
{p 0 6 0 77}Note: BIC uses N = number of observations. See {helpb bic_note:{bind:[R] BIC note}}.{p_end}

{com}. *
. *
. test [congbudchangetot2_1]hmiresidp3tot2 = [congbudchangetot2_1]hmiresidp3tot2baa = [congbudchangetot2_1]hmiresidp3tot2lnaht = [congbudchangetot2_1]hmiresidp3tot2baalnaht = 0

{p 0 7}{space 1}{text:( 1)}{space 1} {res}[congbudchangetot2_1]hmiresidp3tot2 - [congbudchangetot2_1]hmiresidp3tot2baa = 0{p_end}
{p 0 7}{space 1}{text:( 2)}{space 1} [congbudchangetot2_1]hmiresidp3tot2 - [congbudchangetot2_1]hmiresidp3tot2lnaht = 0{p_end}
{p 0 7}{space 1}{text:( 3)}{space 1} [congbudchangetot2_1]hmiresidp3tot2 - [congbudchangetot2_1]hmiresidp3tot2baalnaht = 0{p_end}
{p 0 7}{space 1}{text:( 4)}{space 1} [congbudchangetot2_1]hmiresidp3tot2 = 0{p_end}

{txt}{col 12}chi2(  4) ={res}   27.26
{txt}{col 10}Prob > chi2 =  {res}  0.0000
{txt}
{com}. test [congbudchangetot2_0]hmiresidp3tot2 = [congbudchangetot2_0]hmiresidp3tot2baa = [congbudchangetot2_0]hmiresidp3tot2lnaht = [congbudchangetot2_0]hmiresidp3tot2baalnaht = 0

{p 0 7}{space 1}{text:( 1)}{space 1} {res}[congbudchangetot2_0]hmiresidp3tot2 - [congbudchangetot2_0]hmiresidp3tot2baa = 0{p_end}
{p 0 7}{space 1}{text:( 2)}{space 1} [congbudchangetot2_0]hmiresidp3tot2 - [congbudchangetot2_0]hmiresidp3tot2lnaht = 0{p_end}
{p 0 7}{space 1}{text:( 3)}{space 1} [congbudchangetot2_0]hmiresidp3tot2 - [congbudchangetot2_0]hmiresidp3tot2baalnaht = 0{p_end}
{p 0 7}{space 1}{text:( 4)}{space 1} [congbudchangetot2_0]hmiresidp3tot2 = 0{p_end}

{txt}{col 12}chi2(  4) ={res}   21.86
{txt}{col 10}Prob > chi2 =  {res}  0.0002
{txt}
{com}. test [congbudchangetot2_1]hmiresidp3tot2 = [congbudchangetot2_1]hmiresidp3tot2baa = [congbudchangetot2_1]hmiresidp3tot2lnaht = [congbudchangetot2_1]hmiresidp3tot2baalnaht = ///
> [congbudchangetot2_0]hmiresidp3tot2 = [congbudchangetot2_0]hmiresidp3tot2baa = [congbudchangetot2_0]hmiresidp3tot2lnaht = [congbudchangetot2_0]hmiresidp3tot2baalnaht = 0

{p 0 7}{space 1}{text:( 1)}{space 1} {res}[congbudchangetot2_1]hmiresidp3tot2 - [congbudchangetot2_1]hmiresidp3tot2baa = 0{p_end}
{p 0 7}{space 1}{text:( 2)}{space 1} [congbudchangetot2_1]hmiresidp3tot2 - [congbudchangetot2_1]hmiresidp3tot2lnaht = 0{p_end}
{p 0 7}{space 1}{text:( 3)}{space 1} [congbudchangetot2_1]hmiresidp3tot2 - [congbudchangetot2_1]hmiresidp3tot2baalnaht = 0{p_end}
{p 0 7}{space 1}{text:( 4)}{space 1} [congbudchangetot2_1]hmiresidp3tot2 - [congbudchangetot2_0]hmiresidp3tot2 = 0{p_end}
{p 0 7}{space 1}{text:( 5)}{space 1} [congbudchangetot2_1]hmiresidp3tot2 - [congbudchangetot2_0]hmiresidp3tot2baa = 0{p_end}
{p 0 7}{space 1}{text:( 6)}{space 1} [congbudchangetot2_1]hmiresidp3tot2 - [congbudchangetot2_0]hmiresidp3tot2lnaht = 0{p_end}
{p 0 7}{space 1}{text:( 7)}{space 1} [congbudchangetot2_1]hmiresidp3tot2 - [congbudchangetot2_0]hmiresidp3tot2baalnaht = 0{p_end}
{p 0 7}{space 1}{text:( 8)}{space 1} [congbudchangetot2_1]hmiresidp3tot2 = 0{p_end}

{txt}{col 12}chi2(  8) ={res}   60.38
{txt}{col 10}Prob > chi2 =  {res}  0.0000
{txt}
{com}. 
. 
. 
. 
. 
. **** TABLE SI-4B: CONTROL FUNCTION MODEL ESTIMATES [PROPOSITION 3] ****
. 
. 
. ** BETA_13 [TOTAL DISCRETIONARY BUDGET MODEL]: REGIME 1: E <= A **
. 
. lincom [congbudchangetot2_1]ebctot2lnaht 

{p 0 7}{space 1}{text:( 1)}{space 1} {res}[congbudchangetot2_1]ebctot2lnaht = 0{p_end}

{txt}{hline 13}{c TT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{col 14}{c |}      Coef.{col 26}   Std. Err.{col 38}      z{col 46}   P>|z|{col 54}     [95% Con{col 67}f. Interval]
{hline 13}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{space 9}(1) {c |}{col 14}{res}{space 2} 1.119651{col 26}{space 2} .6700627{col 37}{space 1}    1.67{col 46}{space 3}0.095{col 54}{space 4}-.1936476{col 67}{space 3}  2.43295
{txt}{hline 13}{c BT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}

{com}. *
. 
. ** BETA_23 [TOTAL DISCRETIONARY BUDGET MODEL]: REGIME 0: E > A **
. lincom [congbudchangetot2_0]ebctot2lnaht 

{p 0 7}{space 1}{text:( 1)}{space 1} {res}[congbudchangetot2_0]ebctot2lnaht = 0{p_end}

{txt}{hline 13}{c TT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{col 14}{c |}      Coef.{col 26}   Std. Err.{col 38}      z{col 46}   P>|z|{col 54}     [95% Con{col 67}f. Interval]
{hline 13}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{space 9}(1) {c |}{col 14}{res}{space 2} .3391335{col 26}{space 2}  1.06179{col 37}{space 1}    0.32{col 46}{space 3}0.749{col 54}{space 4}-1.741937{col 67}{space 3} 2.420204
{txt}{hline 13}{c BT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}

{com}. *
. 
. ** BETA_14 [TOTAL DISCRETIONARY BUDGET MODEL]: REGIME 1: E <= A **
. lincom  [congbudchangetot2_1]ebctot2baalnaht

{p 0 7}{space 1}{text:( 1)}{space 1} {res}[congbudchangetot2_1]ebctot2baalnaht = 0{p_end}

{txt}{hline 13}{c TT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{col 14}{c |}      Coef.{col 26}   Std. Err.{col 38}      z{col 46}   P>|z|{col 54}     [95% Con{col 67}f. Interval]
{hline 13}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{space 9}(1) {c |}{col 14}{res}{space 2} -1.29641{col 26}{space 2} .7708327{col 37}{space 1}   -1.68{col 46}{space 3}0.093{col 54}{space 4}-2.807215{col 67}{space 3} .2143939
{txt}{hline 13}{c BT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}

{com}. *
. 
. ** BETA_24 [TOTAL DISCRETIONARY BUDGET MODEL]: REGIME 0: E > A **
. lincom  [congbudchangetot2_0]ebctot2baalnaht 

{p 0 7}{space 1}{text:( 1)}{space 1} {res}[congbudchangetot2_0]ebctot2baalnaht = 0{p_end}

{txt}{hline 13}{c TT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{col 14}{c |}      Coef.{col 26}   Std. Err.{col 38}      z{col 46}   P>|z|{col 54}     [95% Con{col 67}f. Interval]
{hline 13}{c +}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}
{space 9}(1) {c |}{col 14}{res}{space 2}-.2862926{col 26}{space 2} 1.059259{col 37}{space 1}   -0.27{col 46}{space 3}0.787{col 54}{space 4}-2.362402{col 67}{space 3} 1.789817
{txt}{hline 13}{c BT}{hline 11}{hline 11}{hline 9}{hline 8}{hline 13}{hline 12}

{com}. 
. 
. 
. *********************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************************
. 
. 
. 
. 
. 
. 
.  * SAVE "EXECUTIVE BUDGETARY INFLUENCE" DATABASE AFTER ANALYSES OF REPORTED MODELS *
.  
. save "C:\Users\gk57526\Dropbox\Informal & Formal Bargaining (BAA Reforms)\JOP Replication File Materials\Data\execbudinfluence.08-26-2020.REPORTED MODELS.CONTROL FUNCTION FOR ENDOGENOUS REGRESSOR MODELS.comments.dta", replace
{txt}(note: file C:\Users\gk57526\Dropbox\Informal & Formal Bargaining (BAA Reforms)\JOP Replication File Materials\Data\execbudinfluence.08-26-2020.REPORTED MODELS.CONTROL FUNCTION FOR ENDOGENOUS REGRESSOR MODELS.comments.dta not found)
file C:\Users\gk57526\Dropbox\Informal & Formal Bargaining (BAA Reforms)\JOP Replication File Materials\Data\execbudinfluence.08-26-2020.REPORTED MODELS.CONTROL FUNCTION FOR ENDOGENOUS REGRESSOR MODELS.comments.dta saved

{com}. 
. 
. 
.  * CLOSE LOG FILE
. 
.  log close
      {txt}name:  {res}<unnamed>
       {txt}log:  {res}C:\Users\gk57526\Dropbox\Informal & Formal Bargaining (BAA Reforms)\JOP Replication File Materials\Output\execbudinfluence.08-26-2020.SECTION 4.CONTROL FUNCTION FOR ENDOGENOUS REGRESSOR MODELS.comments.smcl
  {txt}log type:  {res}smcl
 {txt}closed on:  {res}21 Mar 2021, 23:40:47
{txt}{.-}
{smcl}
{txt}{sf}{ul off}